What happens to your finances if you need to stay in a nursing home or other care facility? Most people hope that they’ll never be put in that situation, but it’s important to plan for the possibility nonetheless.
The cost of a disabling event or a stay in a long term care facility can catch plenty of Americans off guard. In fact, a recent study showed that health care costs are one of the biggest financial concerns for Americans behind only gas and transportation expenses. Research from the US Department of Health and Human Services shows that nearly 70% of 65 year olds will need some kind of long term care in their lifetimes.
This includes care in a facility, at home or medical and personal care services for those individuals who are no longer able to care for themselves. The average person will need these services for at least three years, but 20% of people will need them for five years or longer. What can come as a huge surprise to you and your family members is that long term care services can cost upwards of six figures per year.
Many middle income adults are unprepared for these costs and expect that they will be able to age in place and stay at home. Putting the pressure on family members and other caregivers can be very strenuous for your loved ones. Having a long term care plan, such as qualifying for Medicaid or purchasing a long term care insurance policy gives you a better opportunity to plan for the future and have some way of qualifying quickly for long term care expenses available to you.
Reach out to our Pasadena estate planning law office to learn more about what’s involved in creating a plan to qualify for Medi-Cal. You don’t want to be caught off guard with your own estate plan or medical care needs, so let a lawyer help you plan for the possibility.