At the Albertson Lawrence Agency’s Financial Services Division, we believe that the ideal financial situation will provide maximum efficiency and effectiveness of current dollars.
Our Guiding Principles include:
Enhancing the value and efficiency of your assets
Maximizing your wealth and avoiding financial pitfalls
Gaining more protection of income and assets
Assuming no additional / minimal risk and minimal out-of-pocket cost.
Using these principles will help to ensure that financial dreams DO come true!
Long Term Care Protection
With costs approaching and frequently exceeding $30,000 annually, this is an area of concern to all, especially those who have been successful in accumulating significant assets.
Extensive planning is often done to conserve these assets and protect them from high estate taxes. It is equally important to consider the effect a long-term stay in a nursing home can have on an estate. Death taxes and a long-term illness can exhaust accumulated assets. To avoid having to “spend down” assets before government programs (Medicaid) will pay for long-term care, a long-term plan may be purchased that will provide the dollars necessary for care. As with most types of health insurance plans, the premium increases as we age and the risk increases. The following chart shows representative annual premiums for $100/day, 60-day waiting period, 5% compound inflation benefit at various ages.
Issue age 50 – $ 552/year
Issue age 55 – $ 723/year
Issue age 60 – $ 993/year
Issue age 65 – $1437/year
Issue age 70 – $2097/year
Other optional benefits such as home health care are available for an additional premium. As in any estate planning situation, with long-term care the earlier one starts in planning the solution, the lower the cost.
Individuals who have been successful in accumulating an estate should be careful in planning for estate taxes and long term care costs. We would be happy to talk with you about the need, the benefits and the costs as they would apply to your situation. Please give us a call.