How to create an effective elder care plan
“It’s paradoxical that the idea of living a long life appeals to everyone, but the idea of getting old doesn’t appeal to anyone.” – Andy Rooney
Getting older should be a celebration of a life well-lived. Unfortunately, this is not always the case. While many hope to enjoy a much-deserved retirement, our prolonged life expectancy has created new and complex challenges. As we age, our financial and care needs may change, and today’s seniors often need to deal with a wide range of issues.
However, by having a clear elder care plan that addresses your specific challenges, you can age gracefully and with peace of mind.
Here are some aspects to consider when creating an elder care plan for yourself or a loved one.
Start early on your elder care plan
Having a plan in place ahead of time, before it becomes an urgent need, can help to save time, hassle and cost. You can develop an elder care plan at any stage.
Find free resources
There are several free resources available that support seniors, including the Southeast Michigan Area Agency on Aging, the St. Clair County Council on Aging and other community programs. These are a great place to start to get educated about what’s available and identify specific needs for your elderly care plan.
Estate planning
Setting up an effective care plan for the elderly typically involves using many legal planning tools, such as a will, trust or powers of attorney. Trying to navigate all of this can be overwhelming. As a result, many turn to an elder law attorney for guidance. However, whether you are using an attorney or setting up documents on your own, estate planning should be a key element of any elder care plan.
A good estate plan communicates your wishes and helps minimize unnecessary cost in the future. It also provides a framework that often overlaps with other areas of elder care, offering you a decisive plan for the future that covers all of the bases, including healthcare decisions, financial planning and other special considerations such as guardianship of a minor or family member with special needs.
Powers of attorney, advance directives and trusts
One important element of estate planning involves making sure that if you are unable to make decisions, either due to death or being incapacitated, there are documents in place to ensure that your wishes are known, or to assign these decisions to someone else.
This can be done in several ways, and the differences between the specific legal documents can be complex.
For example, a trust can be set up to ensure that a trustee (the person you put in charge) can manage specific assets that you place into the trust, either before or after your death. A durable power of attorney, on the other hand, gives someone control over all financial assets, including those not in a trust – but only if you become incapacitated while you’re alive.
Another example is advance directives, which are focused specifically on healthcare decisions. There are several types, including a durable power of attorney for healthcare (someone makes decisions for you), a living will (you express ahead of time what your preferences are if you become terminally ill) and a do-not-resuscitate order. Another type of advance directive covers organ donation and allows you to donate your body to science.
Social Security and Medicare
You’ve paid into these government programs for decades, so by the time you’re eligible to get benefits, it may feel like the cavalry has arrived. However, both Social Security and Medicare are complicated systems that have specific requirements, and they may not cover all of your needs.
It’s important to do the research early to ensure that you get all of your benefits. For example, the current full retirement age for Social Security is 67, although some claim retirement benefits as early as 62. Doing this, however, can significantly reduce the benefits you receive.
There are four different “parts” in Medicare, some of which are administered by the government, others that are administered by private insurance companies who charge additional premiums. Depending on your particular situation, you may also need a supplemental or “Medigap” policy to ensure your needs are covered.
These and other financial healthcare decisions should be weighed in the context of your broader elder care plan.
Long term care and Medicaid
If you need long term care, this can range from home care to assisted living to a nursing home. Costs for these services continue to rise, and while Medicaid may cover some of these, you first need to qualify for it. Another option includes buying private long term care insurance, but these premiums can be expensive, especially if you don’t purchase a plan when you’re younger and healthier.
Quality of life
The number of items to consider in an elder care plan can seem dizzying, and the tips above just address the legal aspects.
However, ensuring that you have an effective plan goes beyond just legal documents and government programs. Elder law ultimately focuses on ensuring that you have the highest possible quality of life, so as you begin to build your elder care plan, you should also make sure that it addresses any emotional and psychological support needs.
Call (810) 207-6670 or complete our online form to request a free phone consultation.
Buzz Suuppi
Buzz started The Plan Firm for his family, which is everything to him. Every member of his team is committed to providing effective estate planning and related solutions for families in St. Clair County, Michigan.