Aging is the sign of a successful life. After all, when you think about the alternative to aging your perspective about getting older shifts. You should start seeking self-sufficiency for your retirement years well before the age of sixty-five. But, even if you have not done so, don’t shun the planning stages. You need to address planning no matter what your age. Some preparation is better than none at all. It can provide you with some peace of mind and can take pressure off of family members who would have to make their own income adjustments to be able to provide money to support your cost of living. No one wants to become a burden to their children or otherwise extended family. It feels good to be able to provide for oneself (and one’s spouse) no matter how lavishly or modestly. It is a relief to know that you have solid plans as well as contingency plans for the future. Although it can be hard work and tough to realize how much it will take to cover your future living expenses, putting off the planning stage does not lead to easier or better outcomes.
First, consider your location. You may prefer the idea of living out their lives in their own home but there is much to consider about that approach and you may determine it isn’t feasible. Are you close to family members or someone willing to help drive you to doctor appointments and grocery stores when you are no longer able? If there are no close family members are there agencies or companies that provide those services? Can you afford to pay the fee? Can your home accommodate a wheel chair; is there a bedroom on the first floor or is there a way to get up and down the stairs? How expensive are the property taxes in your area? How mild is the weather? If you want to go to a retirement community, what locations are most affordable as well as most desirable? How would you transition to less independent living over time?
Once you know your location goals, do some worst-case planning. Adverse health and unforeseen life events can ravage your finances unless you are already managing a sizeable sum of assets or have incorporated proper planning. You might look for advice as to how to turn a nest egg into retirement income, or how to add to your long-term insurance care, or to establish some long-term insurance care. Think particularly about in-home care should your goal be to stay in your own home as you age. Have you done any research on the cost of an Assisted Living facility? The average monthly cost is approximately $5000 a month.
Texas has a Long-Term Care Partnership Program, a joint federal-state policy initiative to encourage the purchase of private long-term care insurance. A professional can explain to you how it can protect some of your assets if you would require extensive care in the future, for instance for Alzheimer’s disease, which could potentially exhaust your private insurance policy benefits and require you to apply for Medicaid. A professional can also advise you if there are any federal or state tax incentives available to you for long-term care partnership insurance. You can also discuss implementing some additional life insurance that can remain in force until you are eighty. It can help a spouse with extra money should something happen to you. In the meantime, both of you could sleep better at night knowing the insurance policy is in place. The point is, you need to examine some potential worst-case expenditure scenarios and how you would be able to meet the needs of your care should the moment arise.
You can go here for more information:
https://www.tdi.texas.gov/consumer/hicap/partnershipcomp.html
Your aging is a success story. Embrace how you prepare for your senior years no matter what your age is, and the sooner the better! Retirement requires careful thought, planning and decision making for the best outcome possible for you and your loved ones.
Contact other Euless, Texas Elder Law Attorney, Antoinette Bone, at (817) 462-5454 or email info@abonelaw.com today and schedule an appointment to discuss how we can help you with your planning.
To comply with the U.S. Treasury regulations, we must inform you that (i) any U.S. federal tax advice contained in this newsletter was not intended or written to be used, and cannot be used, by any person for the purpose of avoiding U.S. federal tax penalties that may be imposed on such person and (ii) each taxpayer should seek advice from their tax advisor based on the taxpayer’s particular circumstances.
Nothing in this message is intended to provide legal advice. This message is for educational purposes only.
