Those who have been caregivers become familiar with the needs of the aged, and they know caregiving can be time intensive. Should one not have family to rely upon, concerns may grow about who is going to fulfill that role of caregiver for them. However, as the number of people aging alone has grown substantially, so has the industry to support them.
It’s not just that there are more older people today due to a demographic shift, but also that more people are aging alone in America than ever before. According to this analysis of U.S. Census Bureau data from KFF Health News, about 28% of people aged 65 and older live by themselves, compared with only 1 in 10 in the 1950s. That means the percentage of people living alone has nearly tripled, and the overall number of older people that percentage applies to has increased considerably as well.
Given the size of this community of people (currently ~6 million men and ~10 million women), one should realize there are many mechanisms of support being created and implemented to support them. Some do require some initiative though. According to this article from the AARP, there are some steps that any of those aging alone should try to accomplish. Some of the steps may be obvious advice for everyone, such as eating healthy and staying fit through exercise, but others are less obvious, such as embracing technology to stay connected to other people or adjusting your environment to suit the future you.
It’s particularly difficult to pay for solutions for problems that don’t exist yet, but adding grab bars for stability to a home, or installing a walk-in tub, or moving to a condo that’s all on a single level may head off a fall that would create substantial expense alongside mobility issues later on.
The article mentions long-term care insurance, which can be one extremely important step in maintaining financial independence and dignity as one ages. One might assume that Medicare will cover costs at a nursing home; however, most long-term care costs are for custodial care which is not covered by Medicare or supplemental medical insurance. According to SeniorLiving.org nursing home costs exceed $100,000 a year and are projected to rise.
Long-term care terms can be a bit confusing too. For example, one needs to take into account the Elimination Period. This is how many days you need to pay yourself before the policy kicks in with benefits, and it usually is done in terms of service days. So someone with an 8-day elimination period that is getting help twice a week needs to cover a full month before the insurance starts covering costs. A financial professional can help work through the ins and outs, so the coverage and cost make sense within the entire retirement plan.
It’s about getting all the plans in place
Everyone should consider long-term care insurance, but for those aging alone there’s more at stake than just making sure there’s a way to settle the bill at a nursing home. There’s who can be trusted and will step in in the case of incapacity, or be able to help facilitate the financial management of the portfolio to ensure stability as we age. That’s where a trust officer comes into the picture. Trust officers have to abide by fiduciary rules, which means there are strong levels of government oversight to ensure they are acting in their client’s best interest at all times. A living trust can designate how the financial management is handled, and having someone ready to step in should a medical setback occur can make a big difference.
One might also want to consider a care management agency for themselves. This is a company that understands options and services related to aging, such as food, housing, rehabilitation, and legal issues. By choosing a care agency, you can be more confident that there will be someone to step in immediately in the case of need, but as someone aging alone, you might be worried that there is no one to make sure that care agency is doing their job properly. Garden State Trust Company understands this problem well, and takes their services a step above to address this issue. You could have a fiduciary provide oversight of the care agency as well.
Garden State Trust Company works in conjunction with care management agencies and others on behalf of clients with our Lifecare Services. This allows us to act as the concierge to many additional services to enhance our client’s aging experience such as:
- Arranging for Long-Term Care Insurance when appropriate
- Arranging for Medical Reimbursement
- Arranging and monitoring In-Home Care
- Arranging for Independent or Assisted Living Alternatives
- Arranging and help with the sale of a home when moving into an Independent or Assisted Living alternative
Other concerns for Solo-Agers
Adding hobbies into our lives can be difficult but rewarding, and sometimes they also create the opportunity to meet new friends and create new social supports even at an older age. In particular, one might want to consider taking classes, or attending events at community or senior centers to get a feel for what that is like.
At Garden State Trust Company, we specialize in the usage of trust services to help our clients achieve their philanthropic and personal financial goals. In an environment where more of us are aging alone, we have more services geared to helping people in that situation. We would be pleased to share more information, please let us know of your interest.
