Retire With Style

In this conversation, Alex and Wade discuss traditional long-term care insurance policies. They address the declining popularity of these policies and the shift towards hybrid policies. They also cover topics such as premium payments, care coordinators, and the importance of starting early with long-term care planning. Wade emphasizes the need to read the specific details of the policy and the potential for premium hikes. They also mention the option of Medicaid for those with limited assets. Overall, the conversation highlights the considerations and factors involved in choosing a long-term care insurance policy. In this conversation, Wade Pfau and Alex Murguia discuss the different types of long-term care insurance policies, focusing on traditional policies and hybrid policies. They cover the key features and considerations of each type, including coverage options, premium hikes, and the use-it-or-lose-it aspect. They also highlight the advantages of hybrid policies, such as level premiums, relaxed underwriting, and the ability to tap into the death benefit for long-term care expenses. The conversation concludes with a discussion on the perceived disadvantages of traditional policies and how hybrid policies aim to address them.   Takeaways Traditional long-term care insurance policies are becoming less popular, with less than 6% of Americans age 50 and older having these policies. The direction is shifting towards hybrid policies, which combine life insurance with long-term care benefits. Premium payments for traditional long-term care insurance can increase over time, and it's important to budget for potential premium hikes. Care coordinators can be valuable in helping individuals find the right care options. For those with limited assets, Medicaid may be a viable option for long-term care coverage. Starting early with long-term care planning is recommended, as waiting too long can lead to health issues that may disqualify individuals from coverage. Traditional long-term care insurance policies have coverage options for nursing home care, assisted living, at-home care, and other services, but they may not cover in-home care or respite care. Hybrid long-term care insurance policies, which combine life insurance or annuities with long-term care benefits, have become more popular due to their level premiums, relaxed underwriting, and the ability to tap into the death benefit for long-term care expenses. Hybrid policies offer more flexibility and liquidity compared to traditional policies, and they eliminate the risk of accidental lapses or premium hikes. While traditional policies may have lifetime benefits, hybrid policies typically have finite benefit periods, but they may offer continuation of care riders that provide additional long-term care benefits beyond the death benefit. Reviewing the language and features of your existing life insurance policy may reveal that you already have a long-term care benefit through an acceleration of death benefit rider. Hybrid policies can be a better use of assets, as they reduce the need for a large cash reserve and provide the potential for higher returns on invested assets. Hybrid policies have different names in the insurance industry, such as asset-based long-term care insurance or life insurance with a long-term care overlay. Chapters 00:00 Introduction and Overview 03:03 The Decline of Traditional Long-Term Care Insurance 04:23 The Rise of Hybrid Policies 06:20 Understanding Premium Payments 08:00 The Role of Care Coordinators 09:30 Considering Medicaid for Limited Assets 10:22 The Importance of Starting Early 26:45 Understanding Level Premiums 28:37 Hybrid Policies: The Darling of Long-Term Care Insurance 37:05 Different Approaches to Hybrid Policies 41:02 Advantages of Hybrid Policies 44:05 Flexibility and Liquidity of Hybrid Policies 45:08 Eliminating Disadvantages of Traditional Policies Links   The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/  This episode is sponsored by Retirement Researcher https://retirementresearcher.com/. Download their free eBook, 8 Tips to Becoming A Retirement Income Investor at retirementresearcher.com/8tips

In this episode, Wade and Alex discuss Medicaid as a funding source for long-term care. They touch on the importance of Medicaid planning and the different rules and qualifications that vary from state to state. They also highlight the need for specialized elder law attorneys to navigate the complexities of Medicaid. Wade shares his personal experience with his parents' Medicaid coverage and the benefits it provides. The episode concludes with a reminder to consider Medicaid as an option for parents who may not have sufficient savings for long-term care. Listen now to learn more!   Takeaways Medicaid is a state-based funding source for long-term care that is generally considered a last resort option. Medicaid planning involves shifting assets from countable to non-countable categories to qualify for Medicaid benefits. Every state has different rules and qualifications for Medicaid, so it's important to consult with a specialized elder law attorney. Medicaid reimbursements may be less than the actual cost of care, so it's beneficial to enter long-term care facilities before needing Medicaid. Consider Medicaid as an option for parents who may not have sufficient savings for long-term care. Chapters 00:00 Introduction and Personal Updates 10:56 Discussing Films and Personal Interests 13:33 Transition to Discussing Medicaid 19:14 Qualifications and Asset Limits for Medicaid 23:01 Medicaid Planning and Non-Countable Assets 26:55 Personal Experiences with Medicaid Coverage 28:25 Importance of Medicaid Transition and Considerations 29:22 Conclusion and Preview of Future Episodes   Links The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/  This episode is sponsored by McLean Asset Management. Visit https://www.mcleanam.com/roth/ to download McLean’s free eBook, “Is a Roth Conversion Right For You?”

In this conversation, Alex, Wade, and Jason discuss the importance of incorporating long-term care into financial planning. They share a real-life example of a client who unexpectedly needed long-term care earlier than anticipated and how having a long-term care policy helped preserve their assets. They also discuss the different types of long-term care insurance policies, such as hybrid policies, and the factors to consider when deciding whether to self-insure or purchase insurance. The conversation highlights the need to stress test financial plans for long-term care events and the value of care coordinator benefits in insurance policies. In this conversation, Jason Rizkallah discusses the process of obtaining long-term care insurance. He explains that the decision between insurance and self-insurance varies and is often influenced by factors such as cost, eligibility, and pre-existing conditions. Rizkallah also outlines the steps involved in signing up for a long-term care policy, including determining coverage amounts, obtaining quotes from providers, and going through the underwriting process. He emphasizes the importance of working with a knowledgeable long-term care specialist to navigate the complexities of the insurance market. The conversation concludes with a discussion on the need for early planning and the availability of options for long-term care coverage. Takeaways Incorporating long-term care into financial planning is crucial due to the high probability and cost of long-term care events. Stress testing financial plans for long-term care events helps clients understand the potential impact on their financial situation. Hybrid policies, which combine life insurance and long-term care coverage, can provide both a death benefit and long-term care benefits. The cost of long-term care insurance should be compared to the potential out-of-pocket expenses to determine the value of the coverage. Care coordinator benefits in insurance policies can be valuable for individuals who may have difficulty finding appropriate care on their own. The decision between long-term care insurance and self-insurance depends on factors such as cost, eligibility, and pre-existing conditions. The process of obtaining long-term care insurance involves determining coverage amounts, obtaining quotes from providers, and going through the underwriting process. Working with a knowledgeable long-term care specialist can help navigate the complexities of the insurance market and increase the chances of approval. Early planning is crucial for long-term care, as the probability of needing care increases with age. There are options available for long-term care coverage, including hybrid policies that offer flexibility and known benefits. Chapters 00:00 Introduction and Guest Introduction 07:26 Benefits of Hybrid Policies 23:02 Factors to Consider in Long-Term Care Planning 32:16 Options for Long-Term Care Coverage   Links We're hosting another YouTube LIVE Q&A episode for RWS! Attend live on the Retire With Style YouTube channel on 5/13 at 1:00 PM ET. Can't make it live? Click here to submit your questions: https://www.surveymonkey.com/r/7JMMPRM The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/  This episode is sponsored by Retirement Researcher https://retirementresearcher.com/. Download their free eBook, 8 Tips to Becoming A Retirement Income Investor at retirementresearcher.com/8tips  

In this episode, Wade Pfau and Alex Murguia are joined by Rob Cordeau to discuss Continuing Care Retirement Communities (CCRCs). They provide an overview of what CCRCs are and how they relate to long-term care planning. They also explore how CCRCs can be an alternative to long-term care insurance and the different financing models for CCRCs. The conversation covers topics such as the large upfront costs of CCRCs, the benefits of living in a CCRC, and the options for refundable entrance fees. Rob Cordeau provides insights into continuing care retirement communities (CCRCs). He clarifies that purchasing a CCRC is not a real estate purchase but rather a contract to live in the community throughout one's life. The entrance fee varies based on the size and features of the apartment, and there are different types of contracts, including non-refundable and refundable options. Rob also discusses the financial aspects of CCRCs, such as the relationship between entrance fees and ongoing cash flow, the potential tax deductibility of entrance fees, and the importance of financial due diligence when choosing a CCRC. Takeaways CCRCs are retirement communities that offer various levels of care on one campus, including independent living, assisted living, and skilled nursing care. CCRCs can be an alternative to long-term care insurance, especially for those who want to downsize and plan for their long-term care needs. There are different financing models for CCRCs, including large upfront costs with lower ongoing monthly costs or lower upfront costs with higher ongoing monthly costs. Some CCRCs offer refundable entrance fees, where a portion of the fee is returned to the resident or their heirs upon moving out or passing away. CCRCs are not real estate purchases but contracts to live in a community throughout one's life. The entrance fee varies based on the size and features of the apartment. CCRCs offer different types of contracts, including non-refundable and refundable options. Financial planning is crucial when considering a CCRC, including modeling the affordability of entrance fees and monthly service fees. Some entrance fees may be tax deductible, depending on the contract. Due diligence is essential to assess the financial stability and reputation of a CCRC. CCRCs may not be suitable for individuals who prefer independent living in their own homes. Buyer's remorse is rare among individuals who have thoroughly considered and chosen a CCRC. Chapters 1. Introduction and Overview of CCRCs 2. Exploring Different Financing Models for CCRCs 3. Understanding Refundable Entrance Fees in CCRCs 4. Understanding the Dynamics of CCRCs 5. Financial Underwriting and Considerations for CCRCs 6. Different Types of Contracts Offered by CCRCs 7. Financial Planning for CCRCs 8. CCRCs vs. Independent Living: Choosing the Right Option   Links The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/  This episode is sponsored by McLean Asset Management. Visit https://www.mcleanam.com/roth/ to download McLean’s free eBook, “Is a Roth Conversion Right For You?”  

In this conversation, Alex, Wade, and Neal discuss the importance of long-term care planning in retirement. They highlight the emotional aspect of planning for long-term care and the challenges of getting people to think about and prepare for it. They also discuss the demographic changes that will impact long-term care, such as the decreasing ratio of family members available to provide care and the potential shortage of caregivers in the future. The conversation touches on the different types of long-term care insurance policies and the need for open and meaningful discussions about healthcare and planning for the future. Neal shares examples of clients who have had personal experiences with long-term care and emphasizes the need for estate planning and power of attorney documents. The conversation then transitions to a discussion about long-term care insurance, with Neal explaining the challenges of traditional policies and the availability of guaranteed policies with reputable insurance companies. These policies address the issues of premium hikes and the 'use it or lose it' nature of traditional policies. The conversation explores different types of hybrid policies, including those built on a whole life or universal life chassis. The benefits of these policies include leverage, tax-free long-term care benefits, protection against sequence of returns, and potential wealth transfer. The decision-making process for choosing a policy involves considering the individual's needs, net worth, and risk tolerance. Listen now to learn more!   Takeaways Long-term care planning is a crucial aspect of retirement planning. Planning for long-term care involves emotional considerations and difficult discussions. Demographic changes, such as a decreasing ratio of family caregivers and potential caregiver shortages, will impact long-term care. There are different types of long-term care insurance policies to consider. Open and meaningful discussions about healthcare and planning for the future are essential. Estate planning and power of attorney documents are essential for ensuring that clients' wishes are carried out and that their loved ones are not burdened with difficult decisions. Traditional long-term care insurance policies have had challenges in the past, but there are now guaranteed policies available from reputable insurance companies. Inflation riders on long-term care insurance policies are recommended to ensure coverage against future costs. Hybrid long-term care insurance policies address the issues of premium hikes and the 'use it or lose it' nature of traditional policies. Different types of hybrid policies include those built on a whole life or universal life chassis. Benefits of hybrid policies include leverage, tax-free long-term care benefits, protection against sequence of returns, and potential wealth transfer. The decision-making process for choosing a policy involves considering the individual's needs, net worth, and risk tolerance. Chapters Introduction and Guest Introduction Setting the Stage for the Discussion Demographic Changes and the Impact on Long-Term Care Exploring Different Types of Long-Term Care Insurance Policies The Need for Open and Meaningful Discussions about Healthcare and Planning Bringing up the Conversation about Long-Term Care The Importance of Estate Planning and Power of Attorney Challenges with Traditional Long-Term Care Insurance Guaranteed Policies: A Better Option for Long-Term Care Insurance Introduction to Hybrid Long-Term Care Insurance Policies Benefits of Hybrid Policies Hybrid Policies with Index Investing Investment Growth and Return of Premium in Hybrid Policies Hybrid Policies vs. Annuity Products Hybrid Policies with Lifetime Benefits Choosing the Right Hybrid Policy Links Register for the webinar with Retirement Researcher and Kenneth French! ‘Five Things I Know About Investing’ Wed 4/24 at 2 EST www.risaprofile.com/podcast The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/  This episode is sponsored by Retirement Researcher https://retirementresearcher.com/. Download their free eBook, 8 Tips to Becoming A Retirement Income Investor at retirementresearcher.com/8tips  

In this conversation, Bob French interviews his father, Ken French, a professor of finance, about key concepts in economics and investing. They discuss the concept of marginal cost and marginal revenue, which helps individuals make decisions based on the balance between costs and benefits. They also explore risk aversion and how it affects investment decisions, as well as the winner's curse, which refers to the tendency to overestimate the value of winning bids or investments. Overall, the conversation provides valuable insights into economic thinking and decision-making. In this conversation, Bob and Ken French discuss the challenges of drawing inferences about the future based on past performance in the financial markets. They highlight the winner's curse and the noise in securities returns as factors that make it difficult to predict which asset class or active manager will outperform in the future. They also discuss the problem of overconfidence and the importance of accurate market prices. The conversation concludes with a discussion on the benefits of stock buybacks and the option value of investments. Listen now to learn more!    Kenneth French's Bio: Kenneth R. French is the Roth Family Distinguished Professor of Finance at the Tuck School of Business, Dartmouth College. French is an expert on the behavior of security prices and investment strategies. He and his frequent co-author Eugene F. Fama have written many notable papers, including “The Cross-Section of Expected Stock Returns”, “Common Risk Factors in the Returns on Stocks and Bonds”, and “A Five-Factor Asset Pricing Model.” French is a research associate at the National Bureau of Economic Research, an Advisory Editor of the Journal of Financial Economics, the Journal of Banking and Finance, and the Financial Review, a member of the Editorial Board of the Critical Finance Review, a former Associate Editor of the Journal of Finance and the Review of Financial Studies, and a former President of the American Finance Association. Professor French is also a Fellow of the American Finance Association and the American Academy of Arts and Sciences, Chair of the Valpo Surf Project’s Global Board of Directors, and a member of the Board of Directors of the Cato Institute, Grassroot Soccer, and the International Rescue Committee. Professor French is a consultant to Dimensional Fund Advisors and a member of the firm’s board of directors. Before joining Dartmouth, Professor French was on the faculty of MIT’s Sloan School of Management, the Yale School of Management, and the University of Chicago Booth School of Business. Professor French received his PhD in finance from the University of Rochester in 1983. He also earned an MS and an MBA from the University of Rochester and a BS from Lehigh University. Takeaways Understanding the concept of marginal cost and marginal revenue can help individuals make informed decisions based on costs and benefits. Risk aversion is driven by the decreasing marginal utility of wealth, where the value of each additional dollar decreases as wealth increases. The winner's curse refers to the tendency to overestimate the value of winning bids or investments, and it can be observed in various contexts, such as oil lease auctions and hiring decisions. Considering these concepts can enhance economic thinking and decision-making in investing and other areas of life. Drawing inferences about the future based on past performance is challenging due to the winner's curse and the noise in securities returns. Overconfidence is a common problem in investing, and people often overestimate their ability to pick winning investments or active managers. Accurate market prices are important for allocating resources efficiently and signaling the value of different activities. Stock buybacks can be beneficial for companies and society, as they can signal undervaluation and allow companies to allocate resources more effectively. The option value of investments should be considered, as companies may choose to buy back stock when they don't have better investment opportunities. Chapters 00:00 Introduction and Setting the Stage 09:19 Navigating Risk Aversion in Investing 31:46 Enhancing Economic Thinking and Decision-Making 45:39 The Importance of Accurate Market Prices 51:42 The Benefits of Stock Buybacks   Links:  Register for the webinar with Retirement Researcher and Kenneth French! 'Five Things I Know About Investing' Wed 4/24 at 2 eastern www.risaprofile.com/podcast   The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/    This episode is sponsored by McLean Asset Management. Visit https://www.mcleanam.com/roth/ to download McLean's free eBook, "Is a Roth Conversion Right For You?"

Jackie Smiertka, the owner of Quality of Life Adult Daycare Health Care Center, shares her journey of opening an adult daycare center and the importance of providing purpose and meaning to individuals as they age. She emphasizes the need for a medical model daycare that offers both medical care and engaging activities. Jackie also discusses the challenges faced by caregivers and the importance of providing them with a break and social interaction. She provides insights for individuals looking for a daycare center, highlighting the importance of finding a center that offers meaningful activities and individualized care. The conversation explores the benefits and unique aspects of the Birdhouse Project, a daycare center for individuals with dementia. The social model of the center emphasizes group activities and giving individuals a sense of purpose. The center provides choices and autonomy to its participants, allowing them to make decisions and engage in enjoyable activities. The center also focuses on holistic care, advocating for the physical and mental well-being of its participants. The conversation touches on the importance of early intervention and the positive impact the center has on the longevity and mental sharpness of individuals with dementia. The conversation concludes with a discussion on the challenges of finding quality daycare centers and the importance of having conversations with loved ones about the need for respite care. Listen now to learn more!   To learn more about Jackie, view the information below:  Jacquelyn K. Smiertka, RN, Center Director The Quality of Life Adult Day Health Care Services Center 3252 University Drive, Ste. 140 Auburn Hills, MI 48326 Phone: 248-364-4064 website:  http://www.qualityoflifecenter.net/index.html Facebook page: https://www.facebook.com/p/Quality-of-Life-Adult-Day-Healthcare-Center-100063594492637/   Takeaways Adult daycare centers can provide purpose and meaning to individuals as they age. A medical model daycare that offers medical care and engaging activities is important for the well-being of the participants. Caregivers also need a break and social interaction to prevent burnout. When choosing a daycare center, look for one that offers meaningful activities and individualized care. The Birdhouse Project is a unique daycare center for individuals with dementia that focuses on providing a sense of purpose and autonomy through group activities and choices. The center emphasizes holistic care, advocating for the physical and mental well-being of its participants. Early intervention and engagement in enjoyable activities can have a positive impact on the longevity and mental sharpness of individuals with dementia. Finding quality daycare centers for individuals with dementia can be challenging, but it is important to have conversations with loved ones about the need for respite care. Chapters 00:00 Introduction and Background of Jackie Smiertka 01:38 Inspiration for Opening an Adult Daycare Center 06:12 Projects and Activities in the Daycare Center 08:58 Supporting Caregivers: The Need for Breaks and Social Interaction 11:54 The Impact of Isolation and Keeping Participants Busy 16:04 The Medical Model and In-Home Healthcare 23:35 The Birdhouse Project: Providing Purpose and Autonomy 29:14 Holistic Care and the Importance of Early Intervention 31:14 The Positive Impact of Engaging Activities 33:39 Challenges in Finding Quality Daycare Centers     Links The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/  This episode is sponsored by Retirement Researcher https://retirementresearcher.com/. Download their free eBook, 8 Tips to Becoming A Retirement Income Investor at retirementresearcher.com/8tips

In this episode, Wade Pfau and Alex Murguia interview Dennis Mattern from Creative One about the role of Independent Marketing Organizations (IMOs) in the financial industry. They discuss the difference between captive and independent advisors, the services provided by IMOs, and the importance of infrastructure for advisors. They also explore the marketing support and business partnership that IMOs offer to help advisors engage new prospects and expand their businesses. In this conversation, Dennis Mattern discusses various marketing approaches and strategies for financial advisors. He emphasizes the importance of understanding social media preferences and recognizing the different generations. Dennis explains how Creative One helps advisors grow their business through strategy sessions and the development of 30-60-90 day plans. He also highlights the significance of setting realistic expectations and finding marketing tools that align with an advisor's strengths. Dennis discusses the effectiveness of dinner seminars, educational events, and virtual webinars. He concludes by discussing the role of compliance and the importance of authenticity in marketing. Listen now to learn more!   Takeaways IMOs provide support and resources for financial advisors, including marketing, product selection, and case design. Choosing the right IMO is crucial for advisors, and they should ask the right questions to ensure the IMO can meet their needs. IMOs can help advisors engage new prospects and expand their businesses through marketing strategies and advertising support. IMOs serve as a business partner for advisors, offering guidance, expertise, and access to a wide range of insurance products and solutions. Understanding social media preferences and recognizing the different generations can help advisors tailor their marketing strategies. Setting realistic expectations is crucial for both advisors and clients. Different marketing approaches, such as dinner seminars, educational events, and virtual webinars, can be effective in reaching and engaging potential clients. Working with an IMO that has a broker dealer or an RIA can streamline the marketing and compliance process. Authenticity and finding marketing strategies that align with an advisor's strengths are key to success.   Chapters 00:00 Introduction and Background 01:49 Understanding IMO and FMO 03:42 The Role of IMOs in the Financial Industry 05:13 Captive vs. Independent Advisors 06:39 The Importance of Infrastructure for Advisors 08:59 The Evolution of IMOs 12:19 Choosing an IMO and Asking the Right Questions 14:03 Services Provided by IMOs 16:13 The Role of IMOs in Product Selection 22:48 Marketing Support from IMOs 24:01 The Importance of Business Partnership with IMOs 28:46 Engaging New Prospects and Marketing Strategies 31:25 Social Media Preferences 32:09 Recognizing Generation X 32:29 Cutting Through the Noise 33:19 Helping Advisors Grow Their Business 34:10 Setting Up a Strategy Session 34:37 Creating a 30-60-90 Day Plan 35:08 Realistic Expectations 36:17 Marketing Tools and Strategies 37:26 Different Approaches to Marketing 38:43 The Effectiveness of Dinner Seminars 39:23 Educational Events and Seminars 40:07 Virtual Events and Webinars 41:12 Considerations for Marketing Approaches 42:40 Benefits of Classroom Events 43:11 Leading with Value in Education 44:25 Virtual Events and Expanding Footprint 45:50 The Role of Compliance in Marketing 48:11 Consolidation and Differentiation in the Industry 49:25 Setting Realistic Expectations 51:09 The Role of an IMO 51:39 Facilitating the Fulfillment Process 52:09 Setting Up a Flywheel for Bringing in New Clients 55:07 Authenticity in Marketing 56:12 Considerations for Evaluating an IMO 57:11 How to Start Links  The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/    This episode is sponsored by McLean Asset Management. Visit https://www.mcleanam.com/roth/ to download McLean's free eBook, "Is a Roth Conversion Right For You?"

In this episode, Alex and Wade discuss options for funding long-term care expenses. They start by clarifying that Medicare is not a long-term care funding option, as it is for health-related issues. The four main funding options they cover are self-funding, Medicaid, traditional long-term care insurance, and hybrid policies. They focus on self-funding in this episode and discuss factors to consider when choosing a funding strategy, such as age, health, family health history, wealth levels, legacy objectives, risk tolerance, and the costs and benefits of different insurance policies. They also emphasize the importance of involving family members in the long-term care plan and considering the fungibility of assets. The episode concludes with a discussion on the impact of long-term care expenditures on one's standard of living and potential beneficiaries. This conversation explores the concept of self-funding for long-term care and the various factors to consider when making this decision. The chapters cover topics such as volatility and spending flexibility, the impact on inheritance and flexibility, insurance for long-term care, estimating reserves for self-funding, the probability of long-term care events, the ideal persona for self-funding, target date funds for long-term care, using QLAC as a planning tool, self-funding with annuities, spending guilt and behavior change, unpaid informal caregivers, and self-funding with annuities. Listen now to learn more!   Takeaways Medicare is not a long-term care funding option; it is for health-related issues. The four main funding options for long-term care expenses are self-funding, Medicaid, traditional long-term care insurance, and hybrid policies. Factors to consider when choosing a funding strategy include age, health, family health history, wealth levels, legacy objectives, risk tolerance, and the costs and benefits of different insurance policies. Involving family members in the long-term care plan is important to avoid misunderstandings and ensure support. Money is fungible, and assets can be used to fund long-term care expenses, including the house, investment portfolio, and life insurance cash value. Consider the impact of long-term care expenditures on your standard of living and potential beneficiaries. Chapters 00:00 Introduction and Overview 02:58 Medicare and Long-Term Care 06:57 Costs and Considerations 09:59 Choosing a Funding Strategy 16:12 Involving Family Members 21:54 Funding Sources for Self-Funding 23:05 Impact on Standard of Living and Beneficiaries 23:19 Volatility and Spending Flexibility 24:15 Impact on Inheritance and Flexibility 25:45 Insurance for Long-Term Care 26:33 Estimating Reserves for Self-Funding 27:05 Probability of Long-Term Care Events 27:36 Ideal Persona for Self-Funding 28:33 Target Date Fund for Long-Term Care 29:23 QLAC as a Planning Tool 30:12 Self-Funding with Annuities 32:09 Spending Guilt and Behavior Change 36:18 Unpaid Informal Caregivers 41:02 Self-Funding with Annuities   Links The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/  This episode is sponsored by Retirement Researcher https://retirementresearcher.com/. Download their free eBook, 8 Tips to Becoming A Retirement Income Investor at retirementresearcher.com/8tips

In this episode, Wade and Alex continue their discussion on long-term care, focusing on nursing homes and continuing care retirement communities (CCRCs). They also touch on hospice care and the importance of having a power of attorney in place. They highlight the need to carefully review contracts and consider the financial strength of CCRCs. Listen now to learn more!   Takeaways Nursing homes provide 24-hour care for individuals who need significant help with daily activities and medical issues. Hospice care focuses on providing comfort and pain relief for individuals with terminal conditions. CCRCs offer multiple levels of care within one community, allowing individuals to transition as their needs change. It is important to review CCRC contracts with an elder law attorney and consider the financial stability of the facility. Upcoming topics will include funding options for long-term care and interviews with experts in the field. Chapters   00:00 Introduction and Correction 00:31 Continuing Care Retirement Communities (CCRCs) 10:02 Hospice Care 25:52 Considerations for CCRCs 30:38 Upcoming Topics and Conclusion   Links  The Retirement Planning Guidebook: 2nd Edition has just been updated for 2024! Visit your preferred book retailer or simply click here to order your copy today: https://www.wadepfau.com/books/      This episode is sponsored by McLean Asset Management. Visit https://www.mcleanam.com/roth/ to download McLean's free eBook, "Is a Roth Conversion Right For You?"