“Will I have enough retirement income?”  We can’t get away from it in the media. With the market downturn, all of us are concerned about having enough money to retire on.  I would like to present the idea that Long-Term Care insurance can have a major positive impact on our post retirement asset retention and cash flow.  As stated in my last post, “An estimated 70% of people who reach age 65 will need some form of long term care before they die.” (Council of Economic Advisors, Economic Report of the President, Washington, DC, U.S. Government Printing Office, 02/17/07).

When faced with the reality of needing care in some form during our retirement years, if we do not have an LTC policy in force to protect us, the effects on our retirement nest egg can be devastating.  If we use the average cost of care per day of $160.00, in Arizona, this translates into the following out of pocket expense:

One Month  $4,800.00
One Year   $57,600.00
Ten Years  $576,000.00

Please keep in mind that this does not take into consideration the rising cost of care, which is growing at about 6% per year.  I do not show you all of this to scare you. There are enough scare tactics in the media today.  I share this with you because good, coordinated planning, potential LTC needs in conjunction with retirement planning is critical.

You may think that you cannot afford to purchase an LTC policy.  I wonder if any of us can afford not too?  Please contact me if you have any questions!

Joe W. Scheid, CLTC
Investment Advisor Representative
Special Care Planner
Strategic Financial Concepts
PH:  480.538.2956
www.strategicfc.com

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Home Care Central Phoenix and Home Care Greater Phoenix provides elder care and senior care in Phoenix. Call us today at 623-583-5868, 602-265-8228 or 480-991-3959.