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A Major Concern for Retirees: Long-Term Care Costs
Federal Retirement Seminars
Since 1980, Personal Benefit Services Group (PBS) has conducted more than 750
federal government retirement seminars in nearly all 50 states.
PBS seminars are taught by qualified instructors with:
- combined federal government seminar experience of more than 52 years
- experience in almost every government agency
PBS Seminars not only cover the most important information on federal
retirement benefits -- such as CSRS/FERS, Social Security and the Thrift Savings
Plan -- but more importantly they provide:
- clear instruction of what to do, and what not to do
- risk protection plans to protect retirement assets
To learn more about holding a retirement seminar
at your office,
Many of our retired clients -- and many retiree's comments in retirement
journals -- indicate the biggest overlooked area in their planning for
retirement was not considering long term care costs.
The latest costs for long term care (according to the Elder Law Report Fall
2011), is an average of $87,000 a year for private nursing home and $78,000 a
year for semi private. Assisted living facility rates are averaging $42,000 a
year. Statistics still indicate that nearly 50% of us will need care before
death with an average stay of 2.5 years.
As we indicate in seminars, there are only three ways to handle these
One, don't worry about it until the time comes and hope for family or
government assistance. As we all know, government assistance programs are more
and more difficult to access, and most people are very concerned about burdening
Two, consult with an elder care attorney to determine how to protect assets
and become eligible for government programs. This approach may involve disposing
of assets entirely. Not too many folks are interested in voiding themselves of
their asset base, and restrictions apply to some of these avenues.
Third, consider insuring to cover some or all of the costs. Depending on the
age at the time of purchase, this way could be fairly costly, as well. But, a
fairly new development in many states across the country would make this last
This option by the states is called "Partnership State." Briefly, the state
indicates, if an individual purchases insurance to cover a certain amount of
long-term care cost, the state will allow that person to keep that same amount
in assets and still access the state government long-term care programs,
referred to by most states as Medicaid.
For example, if the individual purchases insurance to cover $200 a day for
three years of the cost of long-term care (that would be a total of $219,000)
and the insurance comes into play and is exhausted, the state will allow that
person to keep $219,000 in assets and still draw state long-term care benefits,
This seems to be a "win, win" to us. The state may not have to provide any
benefits because the insurance will cover it, and the individual may not have to
give up assets if the insurance is exhausted.
About the Author
L. Ronald Blair is a Certified Financial Planner, Chartered Property Casualty
Underwriter, Accredited Asset Management Specialist, Certified Senior Advisor,
Registered Financial Consultant and owner of Personal Benefit
Seminars located at 870 Kipling St #A Lakewood, CO 80215 -
Tel: 303-238-5123. He is also a registered representative with Royal
Alliance Associates Inc., member FINRA/SIPC.
Sharla Rountree, CFP® and L. Ron Blair, CFP®,
AAMS,offer Securities and Advisory Services through Royal Alliance Associates,
Inc., Member FINRA/SIPC . In this regard, this communication is strictly
intended for individuals residing in the states of AK, AR, AZ, CA, CO, CT, FL,
GA, HI, IA, ID, IL, IN, KS, MD, MN, MO, NC, NH, NM, NV, NY, OH, OK, OR, PA, SD,
TX, UT, VA, VT, WA, WY. No offers may be made or accepted from any resident
outside the specific state(s) referenced.