October is Long-Term Care Planning Month: What it Means and Why it Matters

October is Long-Term Care Planning Month. This month helps people understand why it is important to plan for future care needs. This observance highlights the financial, emotional, and logistical challenges that accompany aging, and it encourages individuals and families to proactively plan for the future. As life expectancy increases and healthcare costs continue to rise, long-term care planning becomes more crucial than ever.

The Importance of Long-Term Care Planning

Long-term care encompasses a wide range of services and support systems designed to meet personal care needs over an extended period. These services can help with daily tasks. This includes bathing, dressing, toileting and eating.

They can also provide more serious medical care. Many people think Medicare or regular health insurance will cover long-term care. However, these costs are often paid out of pocket. This can be a big financial burden without proper planning.

Creating a long-term care plan helps people secure the resources they need. This ensures they can keep their independence, dignity, and quality of life if they need care later on. Planning ahead also alleviates the emotional and financial burdens on family members, who might otherwise need to make difficult decisions on behalf of their loved ones without knowing their wishes.

The History of Long-Term Care Planning Month

Long-Term Care Planning Month was created by long-term care advocates and professionals to encourage people to think about their future care needs. The initiative gained traction in the early 2000s, driven by growing awareness of the aging population and the increasing demand for long-term care services.

The month of October was chosen to align with the broader theme of preparing for the future, as it precedes the holiday season when families often gather together. This timing encourages discussions among family members about future care preferences, financial planning, and the importance of establishing a clear plan.

Key Considerations for Long-Term Care Planning

Evaluate Your Options: There are various options available for long-term care, ranging from in-home care to assisted living facilities and nursing homes. Understanding these options and their associated costs is a critical first step.

Understand the Costs: Long-term care is expensive, and costs can vary significantly based on the type of care and location. In 2023, the average annual cost of a private room in a nursing home was over $100,000, while home health aide services cost around $60,000 per year.

Explore Financing Options: Long-term care insurance, health savings accounts (HSAs), and other financial tools can help cover the costs of care. Additionally, some people may qualify for government programs like Medicaid, but eligibility requirements and benefits vary widely by state.

Discuss Your Preferences: Open communication with family members is essential. Discuss your preferences regarding care settings, medical interventions, and financial arrangements to ensure everyone is on the same page.

Create a Legal Plan: Documents like a living will, healthcare power of attorney, and financial power of attorney are crucial to ensure that your wishes are honored, and your assets are managed according to your preferences.

How to Get Started

Starting the process of long-term care planning may feel overwhelming, but there are many resources available to help. Consider speaking with a financial advisor, elder law attorney, or long-term care specialist who can provide guidance tailored to your specific needs and goals.

Bottom Line

Long-term care planning is not just for the elderly or those nearing retirement—it's for everyone. Health problems can happen at any age. Having a plan helps you and your family be ready for the future. By dedicating time in October to consider your long-term care needs, you can take meaningful steps toward safeguarding your future, reducing stress, and ensuring that your wishes are respected.

Sources:

https://www.nationaldaycalendar.com/october/long-term-care-planning-month-october

Disclosures:

This information is an overview and should not be considered as specific guidance or recommendations for any individual or business.

This material is provided as a courtesy and for educational purposes only.

These are the views of the author, not the named Representative or Advisory Services Network, LLC, and should not be construed as investment advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your Financial Advisor for further information