The financial challenge for aging baby boomers and their adult children is sobering. Genworth, a long-term insurance provider conducted a study in 2018 called Beyond Dollars. They have done this type of study four times beginning in 2010. Below are survey highlights from their published report of top reasons people failed to plan.
People did not want to admit care was needed
People did not want to talk about it
People thought they had more time
People hoped the issue would resolve itself
Long term care need was unforeseen or unexpected
The study also noted long term care is needed by younger adults. For example, in 2010, 81% of long term care adults were age 65 or older. In 2018, 57% of adults 65 and older now need long term care.
More people need help due to accidents while illness needs have decreased. Perhaps you have been a caregiver for a loved one and have experienced the emotional and financial stress because you and your loved one did not have a plan in place on how to care for their aging, accident or illness needs. The age of caregivers in 2018 ranged from 25-54. 51% of those caregivers are likely to be the adult child of the one in need. Interestingly, caregivers are split 50/50 between women and men. Since most of these adult caregivers are also in the workforce, the implication to employers is staggering.
Genworth has a free website tool the Genworth Cost of Care which allows a person to assess costs in their area for homemaker services, home health aides, adult day health care, assisted living, semi and private nursing home costs.
It can be overwhelming to see these costs and you may be like one of those identified in the article who remains in denial that this is not something that will impact you or your family. You can do something now to mitigate some of these financial and emotional risks. Prepare your home to age in place. If accidents are now the leading cause for needing long term care, create a safer home environment that will reduce fall risks while at home. There are great options in the market that can be implemented in a cost effective manner. Plan to add more costly modifications over time. Compare the costs of doing these things with the cost of a year in an assisted living or nursing home. The savings can be significant.
As a certified aging-in-place specialist, senior home safety specialist, and a certified environmental access consultant, I can assist you in creating a plan.
Make your appointment today. The most important thing you can do is to get started on your long term plan for your future.