End-of-life decision-making is an important part of protecting your wealth and your loved ones. When it comes to choosing to spend your time aging at home or in a long-term care facility, there are financial considerations to think about, in addition to potential comfort and care benefits.
There are several things to know about choosing a place to age and how this decision impacts estate planning.
Choosing where to age
Many people prefer to age in place because of the comfort, familiarity and convenience that comes from staying in their home. The presence of family members, routines and other consistencies can help lower anxieties and emotional challenges associated with aging or failing health.
Moving to an assisted living facility can provide a sense of normalcy while gaining the benefit of continual supervision and medical intervention. Moving to an assisted living facility alleviates the stress of home maintenance or upkeep, as well as reduces the risks of accidents or injuries when attempting to cook, clean or travel.
Choosing the right estate plan for your residence plans
Medicaid has specific rules governing the transfer of personal funds in the years prior to moving into a nursing home facility. In many cases, you need to protect your estate years in advance if you want to keep a facility from your family’s inheritance. Possible estate planning options to discuss include:
- A life estate transfer
- An annuity
- An irrevocable trust
You can protect your loved one’s with a number of strategic decisions made now instead of later.
Speak to your family about your wishes for aging and listen to their concerns. Make a decision that protects your health and well-being before financially protecting your wealth.