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MONEY DO’S AND DON’TS: Stop managing your money like it’s the 50’s!


My personal experience planning for long-term care.

“But wait! You’re only 49!”
“Still 48 for a couple of weeks actually…”

A good friend of mine was taken aback when I mentioned that I was currently putting together my own plan for long-term care. Many folks believe that topic doesn’t need to come up until their mid-50s or later. I’m currently in the best shape I’ve been in a long time, so my health underwriting will likely be very good. If I were to wait until my mid-50s or early sixties, will I still be in the shameful physical condition then? Could some sort of unforeseen health event occur that would make me ineligible for long-term care insurance? 

While my personal situation, being single again in my late 40’s requires a closer look at long-term care planning, mostly because I do not have a spouse to rely on for assistance if I need it in the future, there are reasons that anyone should consider this important insurance earlier that they might think. Consider this:

  • Insurances in general, and long-term care coverage especially, gets more expensive as we age
  • Unforeseen health events can make a person uninsurable, meaning long-term care insurance can’t be bought at any price
  • It’s estimated the 70% of people age 65 will need some sort of long-term care assistance
  • “Long-term care” doesn’t only mean a nursing home and the insurance helps receive services in your own home
  • The cost / premium for long-term care insurance will never be more than the future expected costs, especially when using a hybrid life / long-term care insurance policy.

I’m playing the same numbers game in my head, and hear myself saying similar things to other folks: 

  • “Wow. That’s a lot of money.” (The premium will never be more than the benefit.)
  • “What if I never need it?” (Your policy is also a life insurance policy, so you can let go of some of your current life insurance, and your beneficiaries will benefit if you don’t use it.)
  • “Maybe I should wait until…” (It’s never less expensive than it is right NOW.)

The future generally doesn’t come along as tidy as we think it will right now.  “Long-term care” is more than an insurance. It’s also a service and a strategy.

I’m currently working on my strategy using the insurance so I can get assistance if or when I need the service. The younger and more healthy a person is, the more likely it will be more affordable, and attainable.