|
Have you checked on these retirement expenses lately? What we’re talking about is the annual cost of a private room in a nursing home or even home health aide services. The amount for a private room in a nursing home has cracked the six-figure mark ~ $108,408! The amount for home health services averages $26 per hour These amounts are according to Genworth Financial in their 2021 Cost of Care Survey. This rising cost of care has outpaced inflation. Where you live in the U.S. makes quite a difference. You can calculate the cost of care by state here: Cost of Care If you are interested in Local Senior Research Guides, this is an excellent resource: Senior Care Their local senior guides show community demographics, senior housing, long term care choices, healthcare quality ratings as well as other very helpful information. A growing number of older adults need specialized care. However, there is a shortage of skilled workers — both of which raise care expenses.  Look at these numbers of growth between the years 2020 and 2021:
Why Cost of Care is Increasing The core driver of increases in the cost of care services remains supply and demand. Every day until 2030, 10,000 Baby Boomers will turn 65 and seven out of ten of them will require long-term care services at some point. The level of care needed by this rapidly aging population has itself increased over the years. The high turnover rate and insufficient supply of professionals to meet this growing demand pre-date the COVID-19 pandemic, but are now amplified as those providing care on the frontline must consider their own risk of exposure against increasing opportunities for competitive salaries in alternative lines of work. Source... It’s Time to Plan Ahead by Identifying How You would Like to Receive Care: Planning for your care as you get older is very important and can be daunting. You might want to work with an advisor to lay out a plan of where and how you would like to receive care. Make sure you select trusted individuals to oversee your medical care decision making. This may include family members as well as other expects in the field of financial planning and medical care.
0 Comments
 Your house, and what it contains, is a minefield in the eyes of your grown children. They can see from your example that collections of stuff are a curse; such objects are superfluous to a life well lived. They want a clean, clear field in which to live their lives. Your grown children will not agree to be the recipients of your downsizing if it means their up sizing. The following list of the "Top Ten Objects Your Kids Do Not Want" (by author, Elizabeth Stewart) was inspired by conversations with family as well as by similar conversations with hundreds of boomer clients and their millennial heirs. There is a remedy for dealing with each: No. 10: Books Unless your grown kids are professors, they don't want your books. There are a couple common mistakes my clients make in valuing books: The 17th-century books are likely to be theological or grammar-based, and are not rare. The 19th-century books are probably not in good condition, and since most came in a series or set, it's unlikely you'll have a full (valuable) set. Remedy: If you think the book is relatively common plug the title, author, year of publication, and publisher into a resource, such as Biblio.com. Once you have background information, call a book antiquarian. No. 9: Paper Ephemera Things like family snapshots, old greeting cards and postcards are called paper ephemera. Old photos are not worth anything unless the sitter is a celebrity or linked with an important historical event or the subject is extremely macabre, like a death memorial image. Old greeting cards are not valuable unless handmade by a famous artist or sent by Jackie O. Postcards are valued mainly for the stamps. Remedy: Take all your family snapshots and have them made into digital files. The other option is to sell those old snapshots to greeting card publishers who use them on funny cards or give family photos to image archive businesses like Getty. If the archive is a not-for-profit, take the donation write-off. No. 8: Steamer Trunks, Sewing Machines and Film Projectors Trust me, every family has at least three steamer trunks from the 19th century. They are so abundant that they are not valuable, unless the maker is Louis Vuitton, Asprey, Goyard or some other famous luggage house. Likewise, every family has an old sewing machine. They are rarely valuable. And every family has a projector for home movies. Thrift stores are full of these items, so, unless your family member was a professional and the item is top-notch, yours can go there as well. Remedy: Donate this category and don't look back. No. 7: Porcelain Figurine Collections and Bradford Exchange “Cabinet” Plates These collections of frogs, chickens, bells, shoes, flowers, bees, trolls, ladies in big gowns, pirates, monks, figures on steins, dogs, horses, pigs, cars, babies, Hummel's, and Precious Moments are not desired by your grown children, grandchildren or any other relation. Even though they are filled with memories of those who gave them to your mom, they have no market value. And they do not fit into the Zen-like tranquil aesthetic of a 20- or 30-something's home. Remedy: Find a retirement home that does a gift exchange at Christmas and donate the figurines. If you want to hold on to a memory of your mom's collection, have a professional photographer set them up, light them well and make a framed photo for your wall. Collector's plates will not sell anywhere to anyone. Donate these to a retirement village as well or to anyone who will take them. No. 6: Silver-Plated Objects Your grown children will not polish silver-plate, this I can guarantee. If you give them covered casserole dishes, meat platters, candy dishes, serving bowls, tea services, gravy boats, butter dishes and candelabra, you will be persona-non-grata. They might polish sterling silver flatware and objects, but they won't polish the silver-plated items your mom entertained with. The exception may be silver-plated items from Cristofle, Tiffany, Cartier, Asprey, and other manufacturers of note. Remedy: None. Give it away to any place or person who will take it. No. 5: Heavy, Dark, Antique Furniture There is still a market for this sort of furniture, and that market, in the fashionable areas of the U.S., is most often the secondhand shop. You'll receive less than a quarter of purchase price if you sell on consignment in one. Unless your furniture is mid-century modern, there's a good chance you will have to pay someone to take it off your hands. Remedy: Donate it and take a non-cash charitable contribution using fair market valuation. Use reporting services such as P4A.com to find where this class of furniture sells. No. 4: Persian Rugs The modern tranquility aimed for in the décor of the 20- to 30-somethings does not lend itself to a collection of multicolored (and sometimes threadbare) Persian rugs. Remedy: The high-end market is still collecting in certain parts of the U.S. (think Martha's Vineyard), but unless the rug is rare, it is one of the hardest things to sell these days. If you think the value of the rug is below $2,000, it will be a hard sell. Like antique furniture, it may be best to donate. No. 3: Linens Go ahead, offer to send your daughter five boxes of hand-embroidered pillowcases, guest towels, napkins, and table linens. She might not even own an iron or ironing board, and she definitely doesn't set that kind of table. Remedy: Source those needlewomen who make handmade Christening clothes, wedding dresses, and quinceañera gowns. Also, often you can donate linens to costume shops of theaters and deduct the donation. A site like P4a.com has auction results to establish the fair market value of such objects. No. 2: Sterling Silver Flatware and Crystal Wine Services Unless the scrap value for silver is high enough for a meltdown, matching sets of sterling flatware are hard to sell because they rarely go for "antique" value. Formal entertaining is not a priority these days. And of course, sterling must be hand-washed and dried. Can you see your kids choosing to use the silver? Same goes for crystal. Remedy: Sites like Replacements.com offer matching services for folks who DO enjoy silver flatware and have recognized patterns. Because they sell per piece, and therefore buy per piece, sellers get a rather good price. Sell your whole silver service; it will be "pieced out." Unless your crystal is Lalique, Moser, Steuben, Baccarat or another great name, you will not be able to sell your "nice set." Give "unknown maker" sets away, fast. No. 1: Fine Porcelain Dinnerware Your grown children may not want to store four sets of fancy porcelain dinnerware, and frankly don't see the glory in unpacking it once a year for a holiday or event. Just remember: your grown kids and grown grand kids DO NOT want and will NEVER want five or more fine china services. They don't even want one. They do not see the logic. Remedy: Like silverware, china is something to consider for sale to a replacement matching service like Replacements.com. Know your pattern to get a quote from one. Because such replacement companies buy per piece, the aggregate of the selling price is always more than a bulk sale at a consignment store, which might be your only other option. For more info on the topic of Downsizing, Click Here. Have you thought about what and how "aging in place" applies to all of us Over 50? From a Senior Resource Website to further define the term “Aging in Place”: “We are using the term “aging in place” in reference to living where you have lived for many years, or to living in a non-healthcare environment, and using products, services and conveniences to enable you to not have to move as circumstances change.” As people grow older, a significant concern is that they may have to leave their home. They like their comfortable setting in a familiar community and the many memories that go along with it. They feel that a certain amount of control is lost when a person leaves their home. They want to have “control” which is the basis of their feelings of dignity, independence and quality of life. One’s home is a strong element in the sense of security. There are several reasons for this strong aging preference: 1. Comfortable Environment 2. Feelings of Independence 3. Safety and Security 4. Familiar Environment 5. In close proximity to family 6. Convenience to Services  We also want to address the basic challenges of aging. Some of them are subtle and not so obvious. However, they usually include some of the following:
To keep all of this in perspective, here are the facts! In 2000, there were just over 35 million American citizens aged 65 or older. By 2030, according to the US Census Board, there will be about 70 million Americans aged 65 or older. It makes this age group almost 20% of the total US population. Source… You can find out where most older adults live and how old your state is by clicking here. Something else to consider is the importance of home inspections for seniors looking to age in place. Here is an excellent resource addressing this important topic: click here. Living in an “Aging in Place” home may be a wise choice for you or a loved one! For additional information: Aging in Place... Q: What do most Americans cite as their #1 fear during retirement?
A: Running out of money. If you are living in a primary residence, plan to stay a minimum of 18 months and have paid your mortgage and creditors on time for the last two years, you might want to consider a Reverse Mortgage.
A reverse mortgage can help homeowners at least 62 years old age-in-place, maintain independence, retain home title ownership, gain access to home equity that earns compound interest tax-free (and is non-taxable when drawn on) or double their purchasing power to get a newer home. They enable older Americans to borrow against the equity in their homes to help fund retirement needs without having to make PI monthly payments as required with traditional "forward" mortgage or home equity loans. Funds are advanced to the borrower and interest accrues, but the outstanding balance is not due until the last borrower leaves the home, sells, refinances or passes away. A reverse mortgage was a "win" for many local Coloradan clients of Kevin Guttman's, including:
|
Archives
January 2023
Categories
All
|
RSS Feed
