You might not be thinking about saving for senior care just yet, we get it, you’re more concerned with saving for next year’s vacation. The trouble is if you’re not saving for your future, who is? According to an Employee Bene t Research Institute (EBRI) survey in 2012, 60 percent of workers 55 and older have less than $100,000 saved for senior living options and 59 percent of workers age 35-44 have never even bothered to calculate what they need to save for retirement.
Here are three reasons you need to start saving for senior care now:
1. Keep your independence for financial support. If you start thinking about saving now, you won’t have to deal with one of the more common problems many seniors face today—outliving their assets and income. Unfortunately, this problem often results in putting a straining financial burden on children and families. An easy way to ensure that doesn’t happen is to start saving for retirement and senior care now, it’s never too early.
2. Don’t end up with less money than you need. The core logic is simple: if you save $1,000 every year for 40 years, you will end up with more than if you only saved for 20 years. Don’t rely on simply saving more in your later years. Also, keep in mind how much longer we are living today. Today in the U.S., females can expect to live to about 84 and males 81. Living longer directly correlates to needing to save more for retirement.
3. Keep the comfortable lifestyle you worked so hard to attain. Without enough money, when the time comes to decide on a plan for senior living you may struggle with:
- Fewer options for assisted or independent living
- Less freedom to spend at pleasure/ leisure
- Not being able to retire when you want to
Saving money early and planning for senior care financing means you can maintain the independence to decide how you want to live, without financial barriers limiting your options. Looking at the “big picture” early on will allow the future you deserve for both yourself and your children.
Don’t delay. Contact a financial planner and start a savings plan today. This information isn’t intended to be financial advice. Please consult a financial advisor.
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