When you are working and planning for your active retirement years it can be a lot of fun to envision the future. You will finally have the spare time to do all of the things that you always wanted to do. The key is to plan ahead intelligently so that you have the financial resources to do so.

This is why it is wise to develop a relationship with a retirement planning attorney at a relatively young age. The longer you have to achieve your goals the more likely it is that they will come to fruition. When you have a professionally formulated road map to follow there is little doubt that your visions will become a reality if you diligently stick to the plan.

This having been stated, comprehensive planning should include all of the eventualities of aging. If you take a close look at the statistics and apply some simple common sense to the equation, there may come a time that follows your active retirement years when you are not fully capable of tending to your own personal needs. Statistics that have been provided to us by the United States Department of Health and Human Services indicate that some 70% of individuals who reach the age of 65 will someday require some form of long-term care. This is a pretty profound number, and if you want to be prepared it is wise to plan ahead.

There are many different nursing homes and assisted living facilities out there and some have better reputations than others. It is important to do your research and identify the facility that serves your needs. Asking friends, family members, and business associates for referrals is one way to garner helpful information. Another is to do research on the Internet, and there is a Nursing Home Compare portal on the Medicare.gov site that is very useful to this end.

Another thing to consider would be the costs associated with long-term care, which can routinely exceed $200,000 for an average stay in a nursing home. To explore your options with regard to addressing these costs, simply arrange for a consultation with an estate planning attorney.

Nirenstein, Horowitz & Associates, P.C. is a member of the American Academy of Estate Planning Attorneys.

Intelligent retirement planning involves getting a firm grasp on the expenses that you may be facing when your working years are through. Looking forward to taking vacations and enjoying leisure time and estimating costs associated with this part of the equation can be fun, but you must also consider your twilight years that lie beyond your active retirement years. There are potential expenses that you may face when you reach an advanced age, and some of them are considerable.

People are living longer these days, with the oldest old being the fastest growing age group in the United States. As you get older the possibility that you will spend some time in a nursing home increases. These costs can add up to consume a large portion of your legacy if you have not made the appropriate plans in advance. If you combine the average length of stay with the average costs, your nursing home expenses may be in excess of $200,000 using today’s figures. Of course, the costs associated with long-term care are expected to trend upward into the foreseeable future, so if you’re planning for a possible nursing home stay in ten or twenty years the number may be much higher.

One possible option for those who are concerned about the costs associated with long-term care would be to take out a home equity conversion mortgage. These federally insured reverse mortgages provide you with payments in return for equity in your home. The loan becomes due after you pass away or move from the home. So, you could choose to use these funds to pay for in-home care. Another approach would be to pay for long-term care insurance with the loan proceeds. If you were to subsequently move into a nursing home or assisted living facility the insurance would pick up the costs. You could then sell the home, pay off the loan with part of the proceeds, and keep the remainder.

Nirenstein, Horowitz & Associates, P.C. is a member of the American Academy of Estate Planning Attorneys.