A recent article urges readers to begin planning for their golden years sooner, rather than later. Although not everybody will spend their old age in a nursing home, seventy percent of people will require some sort of long-term care at some point in their lives.
This care does not come cheap. A nursing home can cost roughly $6,000 per month. Assisted living costs tack on another $3,000 per month. Due to these high costs, people must create their estate plans with long term-care in mind. Without considering or planning for long term care, people often don’t realize just how much long-term care will run them until they are in crisis.
One popular strategy for people to help fund their long term care cost is to gift or otherwise shift their assets so that they qualify for Medicaid assistance. If you plan to use this route, be sure to speak with an estate planning attorney first, as Medicaid employs look-back provisions that may calculate your gift as part of your net worth when determining whether you qualify for Medicaid benefits.
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