One of the most sought after objectives for retirement is the ability to maintain independence from family and friends in old age. However, this independence is not cheap as late in life care requires huge expenditures ranging from special equipment for the home to the need to have part or full time caregivers that can assist with chores and other necessary daily activities. As a result, clients need to be given the facts of old age care, especially in regards to cost, so that expectations are tempered and match the reality of the situation. Many people manage to set aside $1-2 million for retirement but, spread over several decades, that amount is not as significant as it might seem especially since expenditures will increase in the last years of life. While this goal is not impossible, planning must start early and involve the client’s family as they are a source of assistance that could drastically cut cost and help attain a high, if not perfect, level of independence in the twilight years.
See Mary Merrell Bailey, Help Clients Achieve Lifestyle Independence, Wealth Management, November 17, 2015.
Special thanks to Jim Hillhouse for bringing this article to my attention.
