A Failure to Communicate: Long Term Care for the Baby Boomers

The Government is taking the home Mary and marshall Brandenburg worked for all their lives. Mary and Marshall poured all of their assets into realizing the American dream of home ownership. Now they ar among the thousands of seniors who are having that dream extinguished by the estate recovery provision of Medicaid. Mary has lived in a nursing home since 2001.When she dies, Georgia ordain collect the cost of her long-term precaution from her estate, wiping out any inheritance for her family. Like Mary and Marshall, virtually Americans think the money taken out of their paychecks every week for Social Security, Medicare and Medicaid go awaying cover their long-term care. This is simply not true.This paper explores the misconception held by a significant number of people that Government programs will pay for long-term care. This paper also discusses the way Congress altered the role of Medicaid through expiration of the Deficit Reduction Act of 2005. The policy changes of th e DAR substantially affect estate planning and increase the regard for long-term care insurance.Also included is a discussion of provisions a long-term insurance policy should include. The devil main delivery methods of long-term care insurance are through a reclusive carrier or a state sponsored Long-Term Care Partnership Program. The paper concludes by recommending countrywide implementation of the Long-Term Care Partnership Program.II. ITS REALITY TIME FOR THE BABY BOOMERSAmericans are living extended than ever and the first members of the Baby Boom Generation will reach 65 in quadruplet more than years. Many of them are or turn over been caregivers for their parents. The reality of old age is now stare them directly in the face.As one recent blogger lamented I was cleaning the bathroom yesterday, wiping down the mirror, when it happened. It stopped me in my tracks, mid-swipe, and I couldnt believe my eyes. I blinked hard, took another look, but at that place was no deny ing the truth. I have become my mother.A. Just Who Are These boomers Anyway?The U. S. Census Bureau defines Baby Boomers as the 78 jillion Americans born between 1946 and 1964. They comprise approximately 30% of the total population and are more many than any other generation. Boomers transformed America into what is now the wealthiest and strongest nation on the planet.Along the way, they also transformed our culture. Boomers are the driving force behind the emphasis on individual rights, from civil rights to gay rights. They started out by challenging authority but now control almost every major institution.Now they are face up retirement but the majority of them have not considered any type of estate planning. check to a recent study, 60% of Americans between the ages of 21 and 64 have neither an IRA nor a 401(k). According to Cheryl Russell, a well-known demographer, most Boomers havent faced retirement planning yet, but when they do, it will come as a shock.B. Their Need f or Long Term CareAmericans are living longer than ever. At birth, a Boomer could expect to live to the age of seventy. Now Americans reaching 65 have a life expectation of 20 more years. This trend of more of us getting older and living longer will continue. Individuals that are age 85 and older are the fastest growing demographic of our population.At age fifty, at that place is a 20% chance of needing long-term care within the next year. At age 65, there is a 44% lifetime risk of entering a nursing home. The trend is clear, more and more of us will need long-term care.What is Long-Term Care?Long-term care encompasses a resistant range of services needed by people who are unable to care for themselves because of illness, disability or aging. Long-term care is the assistance needed to perform the essential activities of daily living (ADLs). Individuals may achieve this assistance at home, in an assisted living facility, adult day care center or skilled nursing home.The term, acti vities of daily living, means activities that people generally do by themselves on a daily basis. These are dressing, bathing, transferring (getting into and out of bed or a chair), walking, eating and toileting/continence. Medicaid eligibility or payments from a long-term care insurance policy usually require the person be unable to perform two or more of the ADLs.However, long-term care encompasses more than just meeting the chronic health care needs of an individual. Maintaining your quality of life and lifestyle likeences are also important components. Providing assistance in a traditional facility is usually more efficient and cheaper than assistance provided at home.Yet most people prefer to remain in their home and maintain control in the determining their daily activities. Whether this is possible depends on the individuals financial situation and the availability of support from the family or community.