Time magazine recently published an article discussing the number of Americans who have taken steps to plan for their own long-term care needs as they age.  An insurance industry study found that 54% of baby boomers have no plans in place for their long-term care.  The 44% who have a plan are often operating under the mistaken belief that increasing their savings account is sufficient.

The reality is that most people underestimate the cost of long-term care, or assume their family members will be able to handle their needs.  The cost of a nursing home can easily exceed $100,000 per year.  Medicare only covers 100 days of care, while Medicaid only covers care if the person has few assets.  The enormous costs of nursing homes can quickly drain a person and/or their family’s life savings. (more…)

When persons over age 65 are no longer able to perform all the tasks of daily living, moving to a care facility may be the best option.  Today, there are several categories of facilities which offer different levels of care depending on the person’s specific needs.  Assisted living facilities are for seniors who need help with daily activities like meal preparation, house-keeping, laundry, and errands.  Nursing home facilities cater to seniors whose medical conditions require supervision or administration of medication.

These facilities ensure that a senior is receiving the proper level of care while maintaining as much of their independence as possible.  However, the cost of many care facilities can run thousands of dollars per month.   Medicare will only pay for 100 days of care in a nursing home after a 3-day hospital stay.  After Medicare runs out, the person will have to pay for their care themselves, or qualify for Medi-Cal.   Medi-Cal is California’s public health insurance program which provides services for low-income people, including seniors.  (more…)