A bigger portion of the population is aging today that has affected society in years past. As our population gets older, more people confront elder law related issues, whether it’s directly in your own home or caring for your aging parents.
One of the biggest problems with these elder law concerns is the ability to pay for long term nursing home care. This care is not typically covered by traditional health insurance.
Depending on the level of care required and the cost of living in your area, the cost for a nursing home room can vary significantly. In 2018, the national median cost for a skilled nursing facility private room was over $100,000.
The average stay in a nursing home is just over 2 years, meaning that your likely retirement savings could be eliminated by just one spouse’s stay in a nursing home for the average period of time.
Most people end up paying out of their pocket for nursing home care until their family or personal assets are so depleted that they are eligible for Medicaid to pick up the cost. The good news is that you do not have to wait for this situation to be able to take advantage of planning options.
Careful planning can help you to protect your assets, whether for your children or for your spouse. This is known as Medicaid planning and can help you to qualify for Medicaid sooner rather than later. Medi-Cal is a state program that California uses to refer to its Medicaid programs.
This is a form of welfare unlike Medicare, which is an entitlement program. Making difficult decisions about long term care planning is key for anyone who is approaching their older years or caring for a loved one. Your decision to consult with a California estate planning lawyer could help you get your estate plan on track today.