Social Security Isn’t Enough for Most to Pay for Long-Term Care
“I have a pension. I’ll have Social Security. I’ve been putting into a 401(k) most of my life.” These are simple statements some people make to avoid even talking about long-term care insurance.
Long-Term Care Insurance Carlsbad CA – Social Security Isn’t Enough for Most to Pay for Long-Term Care
A lot of people assume there’s absolutely no reason they need to begin a long-term insurance policy in their 30’s, 40’s, or even their 50’s. In many cases, people are completely oblivious to the fact they or somebody in their family, especially their spouse, may need some type of long-term care in the future.
They assume they’ll be able to afford it or that Medicaid or Medicare will cover these expenses.
Medicare and Medicaid are only going to provide short-term care to qualifying individuals. A qualifying individual is most likely going to be a person with limited financial ability to pay for it on their own. Most importantly, it has nothing to do with long-term care.
Social Security hasn’t seen any real significant increases in decades. At the moment, it’s not even keeping up with inflation. A pension is, in most cases, not going to be anywhere close to what a person earned when they were working full time. And, as far as retirement savings are concerned, a 401(k) and other investments is great, but let’s talk about the reality of long-term care.
The average cost of long-term care.
It varies depending on the care. A home care aide, full-time, will cost an average of about $43,000 per year. What if that person needs around-the-clock, live in care? Assisted living, on average, would cost at least $75,000 per year. Nursing home care, at the moment, averages $85,000 per year.
Take inflation, supply and demand economics, and some other factors into consideration and those numbers could exceed six digits by the time you or somebody in your family may need long-term care.
Assuming social security is going to cover some type of long-term care in the future is doing a disservice to you and your family. If you calculate the cost of assisted living or nursing home care, which could exceed $100,000 annually within 10 years, how long will that retirement portfolio (you’ve been building for decades) hold out? Within a few short years you could find yourself completely financially devastated, completely dependent on that Social Security and pension just to survive.
You may face incredible expenses when it comes to medical care, prescriptions, food, utilities, and so on. If you’re investing in your retirement, don’t neglect one of the most powerful tools that can protect it: long-term care insurance.
If you or a loved-one are considering Long-Term Care Insurance in Carlsbad CA, please contact Steve Elliott at Capstone Insurance for an honest discussion about your future and your options. Call today (858) 350-3161.
I work with all the major insurance companies and my objective is to help my clients determine if long term care protection makes sense for them and if so, to help them shop the market to find the best company at the best rate
I specialize in Traditional Long Term Care Insurance as well as Hybrid Long Term Care Plans which are either a combination of Life Insurance and Long Term Care or an Annuity Plan with Long Term Care
I’ve been specializing exclusively in Long-Term Care Insurance Planning for over 21 years.
Steve was recognized as a 2003 Long Term Care Expert of the Year at The National Long Term Care Producers Summit
2006 was awarded Senior Market Advisor of the Year Finalist by Senior Market Advisor Magazine
National Speaker for Numerous Industry Meetings
Awarded Nations Top 10 Agent 8 times by the American Association of Long Term Care Insurance
Author of numerous published articles on long term care planning
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