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The costs of care are continuing to rise for seniors, and many people in the Baby Boomer generation are having trouble keeping up with the increase. Since a number of older people will need long-term care, they have to find ways to pay for it. Even if they’ve saved for retirement, though, the price increases could put some of their expected care options out of reach.
If a senior has to move into assisted living, for example, they can expect to pay around $60,000 per year on average. As they age and need additional levels of care, the costs will increase. At some point, someone using this option for help and support may have to move into a less-desirable facility or out of a facility entirely due to a lack of funds.
For anyone in the Baby Boomer generation who has to move to a nursing home, the annual cost can be around $120,000. Most people can’t afford that, and many will go without needed levels of care because it’s cost-prohibitive to have the support they really need. Additionally, many people want to age in their own homes. They can’t always do that, depending on the care they need.
Some homes aren’t set up for aging in place, either, and the costs to make the changes that allow a senior to live there safely might be more than that senior can afford. Having in-home help is also very expensive, at around $56,000 per year. Liquidating other properties or assets, taking out loans, using GoFundMe, getting families involved, and other options aren’t always available.
The rising costs are putting many people in the Baby Boomer generation at risk of additional health problems as they age, along with injuries like falls in their home and burns from attempting to cook for themselves. The safest place for many aging seniors is often an assisted living space or other care arrangement, but unless costs come down or there are increased subsidies to help with payment, it’s not going to be an option for a large percentage of Baby Boomers.
But, there is hope! By proactively moving their assets into an Irrevocable Trust, Boomers could still qualify for Medicaid while saving some of their wealth for their loved ones. Be sure to speak with an estate planning attorney to explore all of your options.
It is important to make your intent clear in your estate documents to ensure your wishes will be carried out. Getting the help of an experienced and dedicated estate attorney is essential for anticipating and preventing problems in the future. Contact The Estate Planning and Legacy Law Center for comprehensive estate planning services!