Medicare and Cancer Benefits - Prevention, Diagnosis and Treatment

On occasion, this blog allows guest experts to submit a post on a complicated topic.  This week, I am delighted to have a post on how Medicare will cover the prevention, diagnosis and treatment of cancer.  The post also goes into detail on the differences in your coverage if you have a Medigap or Medicare Advantage plan.

This post on Medicare and cancer benefits was written by Danielle Kunkle, the co-founder of Boomer Benefits, an insurance agency specializing in Medicare-related insurance products in 47 states. Her contact information is included at the end of this article.

Medicare and Cancer Benefits

If you have cancer or a family history of cancer, you may have concerns about how Medicare will cover treatment of cancer. Treatment for cancer can be expensive, but Medicare will be an enormous help with diagnosing and treating this health condition.

Medicare provides a wide range of cancer services from preventive care all the way to surgery and chemotherapy. Understanding Medicare’s coverage of cancer treatment starts with first understanding the parts of Medicare.

Original Medicare Parts A and B

Part A is your hospital insurance. It will pay for hospitalization, skilled nursing, blood, home health care and hospice.

Part B is your outpatient insurance. It covers doctor visits, lab-work, durable medical equipment, surgeries, ambulance and many other medical services. In relation to cancer, Part B will also pay for chemotherapy, radiation, second opinions before surgery, drugs administered in a clinical or hospital setting, and physical therapy or rehab care.

Medicare Part B also provides mental health care to deal emotionally with your diagnosis and preventive care screenings, such as mammograms, cervical screenings, prostate exams and colonoscopies.

Medicare Part D Drug Coverage

Part D is for your retail prescription drugs. Although Part D is optional, it is really very important when it comes to cancer care. This is because some cancer medications and anti-nausea medications are now in an oral form which you pick up yourself at a pharmacy. You will want good coverage for these potentially expensive medications.

Your Part D pharmacy card will provide drugs to you at a copay level instead of you paying full price. Most importantly, all Part D plans provide catastrophic coverage. After your spending reaches a certain annual limit, the insurance company then must pay 95% of the cost of your medications for the rest of the year.

Common Questions Regarding Medicare and Cancer

Here are some of the most common cancer questions we receive in relation to Medicare’s coverage of cancer treatment.

Is Immunotherapy covered by Medicare?

Immunotherapy is a form of treatment which helps the body’s immune system fight cancer. Medicare Part B provides coverage for most intravenous medications which are considered reasonable and necessary. Check with your doctor before beginning treatment.

What will be my cost for cancer treatment under Medicare?

You are responsible to pay for your hospital and outpatient deductibles, which are set by Medicare each year. You are also responsible to pay 20% of the cost of your Part B services. There are Medigap plans available which pay after Medicare pays its share. The one with the most comprehensive coverage is Plan F, which will cover 100% of your cost-sharing responsibility.

Medicare beneficiaries can enroll in any Medigap plan without health questions during the first 6 months after their Part B effective date. There are no pre-existing condition exclusions or waiting periods if you apply during this Medigap open enrollment period.

If a Medigap plan is not in your budget, another alternative is Medicare Advantage. Also called Part C, Medicare Advantage plans are private plans which pay instead of Medicare. These plans usually have a network of doctors from whom you will get your care. Some plans require you to choose a primary care doctor who can then refer you to your oncologist and other specialists.

Medicare Advantage plans often have lower premiums than Medigap, but you will pay copays for your various treatments as you go along. As long as you apply during a valid election period and live in the plan’s service area, most people with Original Medicare can get approved for a Medicare Advantage plan. There is only one health question about end-stage renal disease which could prevent you from being covered under a Medicare Advantage plan.

Which cancer doctors can I see while on Medicare?

Medicare has over 800,000 providers. Many cancer treatment centers and specialists participate in Medicare. Visit Medicare’s website to find a list of participating providers.

How Do I Know if a Drug is Covered by Part B or Part D?

Part B typically covers drugs which are offered in intravenous form. However, if your doctor prescribes an oral version of one of these medications or an anti-nausea medication, Part B may cover it. Your doctor must give it to you within 48 hours of your cancer treatment.

If you take a drug which only comes in oral form, your Medicare Part D drug plan will likely cover it. Should you be prescribed a drug that is not on the formulary, your doctor can file an exception with your drug plan to request coverage for it.

Does Medicare cover second opinions?

Sometimes cancer patients want a second opinion before a surgery. Medicare Part B does cover this at 80%. Most Medigap plans will cover the other 20%. If you are enrolled in a Medicare Advantage plan, check your plan’s summary of benefits to determine what your copay will be for this doctor visit.

Author Bio

Danielle Kunkle is the co-founder of Boomer Benefits, an insurance agency specializing in Medicare-related insurance products. They help baby boomers new to Medicare learn about their benefits and coverage options across 47 states.  You can reach her at dkunklebb@gmail.com or 1-855-732-9055.

If you are interested in more information on common medical issues as you age, retirement planning, Social Security, Medicare, and more, please use the tabs or pull-down menu at the top of the page to find links to hundreds of additional helpful articles.

Watch for my book, Retirement Awareness: 10 Steps to a Comfortable Retirement, which will be released by Griffin Publishing in 2017.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  Google images

Safety Rules for Grandchildren

Many of today's grandparents are very involved in the lives of their grandchildren.  Three million grandparents are currently raising their grandchildren; millions more regularly babysit them. However, at the 2017 Pediatric Academics meeting, the attendees discussed the fact that many safety rules have changed over the past few decades and grandparents could be unintentionally putting their young grandchildren at risk.  Whether you are actively raising your grandchildren or occasionally babysitting them, it is important to learn the new rules for keeping them as safe as possible.

Why Grandparents Are Not Aware of Safety Recommendations

Grandparents are often confused by the changing recommendations. Young parents are constantly bombarded by new recommendations on how to keep their children safe.  Grandparents, however, are only rarely included in the visits to pediatricians and they are even less likely to have conversations with their peers about the best way to feed, transport and care for an infant.  As a result, they are frequently left out of the loop when new suggestions are released by experts.  In addition, some grandparents are resistant to the idea that things have changed since they raised their kids and they need to change their child-rearing ideas, too.

Modern Safety Recommendations for Infants and Young Children

1.  Today's pediatricians recommend that babies be put to sleep on their back, not on their sides or stomach as they were in the past.  Caregivers should not put blankets, toys or pillows in the crib with an infant. Making these changes can reduce the risk of SIDS (Sudden Infant Death Syndrome), which is the leading cause of death for infants between the ages of one month and one year.

2.  If a child is burned, butter is not the proper treatment for it.  If the burn is severe, call the child's pediatrician or take the baby to the emergency care or urgent care center nearest your home.

3.  Injuries should be cleaned and covered with a bandage to reduce the risk of infection.

4.  When a child has a fever, they should NOT be put in an ice bath, although this treatment was common 30 or 40 years ago.  Today's experts point out that this treatment can drop the body temperature too much and cause hypothermia.

5.  Infants should be transported in a rear-facing car seat as long as possible.  Toddlers should ride in a forward facing car seat with a five point restraint system. Older children can use booster seats after they outgrow their car seat.  The exact age and size of the children in each type of seat varies from state to state, so make sure you know the requirements for your state.  Before you offer to car pool with another parent or grandparent, make sure your vehicle can accommodate all the necessary car seats and booster seats.  Many cars can only accommodate a maximum of two car seats in the back seat. Children cannot ride in the cargo area of an SUV or station wagon, which was common a few decades ago.  Below are the laws in the State of California, according to the California Highway Patrol website in 2017.  The laws may vary slightly in the state where you live:

2017 California Child Safety Seat Laws

• Children under 2 years of age shall ride in a rear-facing car seat unless the child weighs 40 or more pounds OR is 40 or more inches tall. The child shall be secured in a manner which complies with the height and weight limits specified by the manufacturer of the car seat.
• ​Children under the age of 8 must be secured in a car seat or booster seat in the back seat.
• Children who are 8 years of age OR have reached 4’9” in height must be secured by a safety belt.
• Passengers who are 16 years of age and over are also subject to California's Mandatory Seat Belt law.

How Grandparents Can Stay Up-to-Date on Childcare Recommendations

The rules above are just the tip of the iceberg, and new suggestions for proper child and infant care are released frequently, including when to begin feeding solid foods to an infant, the types of food they should eat, and the products which are safe to use on an infant. As a result, if you are raising a grandchild or occasionally babysit one, it is important you stay current.  Go to well-baby checkups at the pediatrician's office, if possible.  In addition, attend parenting meetings and read current books and magazines on child rearing.

Below are a few sites where you can learn the latest childcare recommendations:

American Academy of Pediatrics Healthy Children Website

Parents.com

Parenting.com

For Car Seat Laws, check your state Highway Department website

If you are interested in additional information for grandparents, or tips for senior citizens, including where to retire, financial planning, Social Security, Medicare, common medical issues and more, use the tabs or pull down menu at the top of the page to find links to hundreds of additional articles.

Watch for my book, Retirement Awareness: 10 Steps to a Comfortable Retirement, which is being published by Griffin Publishing in 2018.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  morguefile.com

How to Hire a Home Care Agency

At some point, nearly everyone who lives long enough is going to need a little extra help.  If you or your loved one does not need to live in a skilled nursing or memory care facility, a home caregiver may be able to provide all the assistance you or your family member needs.  Whether you are hiring the person for yourself, a spouse or a parent, what are some of the issues you need to consider in choosing the right caregiver and agency?

Choose a Licensed Caregiver Agency

Although it may be tempting to hire a private individual as a caregiver, it can be a risky move.  Most district attorneys and law enforcement officials have dealt with cases in which valuables or money were stolen by unlicensed, private caregivers.  In addition, an unlicensed caregiver is more likely to ask for "loans" or not be qualified to provide proper care, especially in an emergency.  They may have had little or no training or experience in dealing with medications, lifting people who have fallen, knowing when to call 911 or handling other situations.  A better solution is to deal directly with an agency which is bonded and responsible for training and assisting you in choosing the appropriate employee for your situation.

What to Look for in a Licensed Caregiver Agency

The State of California has a Home Care Services Consumer Protection Act which requires agencies to meet certain requirements.  Even if you live in another state, these are guidelines you should look for in any agency you may choose to employ:

*  They should conduct background checks on their employees
*  They should provide an employee dishonesty bond
*  They should provide training (although in California only 5 hours are required)
*  They should carry liability insurance
*  They should keep records on any reports of suspected abuse
*  They should provide workers compensation coverage for their employees

What to Look for in the Caregiver Who Comes to Your Home

Whether you are hiring the caregiver for yourself or a family member, you want to make sure they will be a good fit and able to handle the job.  You should insist on meeting the caregiver before they begin working alone with you or your family member.  There are certain issues to consider:

*  You need to recognize that a caregiver is NOT there to provide medical care.  The caregiver is employed to provide needed assistance with activities of daily living such as grocery shopping, cooking, feeding, bathing, dressing, dispensing medication at the appropriate times, or moving the client from the bed to a wheelchair or making similar transitions.  They may also drive them to medical appointments and social engagements.

*  The caregiver should be a self-starter, recognize when something needs to be done, and be willing and energetic enough to do it.

*  The ideal caregiver should have a caring personality.  They should smile often, be willing to give a hug occasionally, listen to repetitive stories, and laugh at the funny ones.  Since they may be the only person their client sees regularly, they need to be able to fill of the role of both caregiver and friend.

*  They should be willing and able to keep their client as active as possible, helping with their physical therapy exercises and enabling them attend their favorite social events or fitness classes.

*  The caregiver should be observant and intuitive, able to recognize when "something doesn't feel right."  They should be comfortable letting other family members or medical personnel know if they suspect there is a problem and be ready to call 911 in an emergency.  They should also be good communicators and able to explain any changes they see. 

*  They should be diplomatic and discrete in dealing with other family members, especially if their client is dying, goes on hospice or becomes stressed when certain relatives are around.

What You Can Do to Help the Caregiver

Whether you hire a caregiver for yourself or a family member, there are steps you can take to make their job easier and more beneficial for the client.

* Give the patient the opportunity to have input in choosing the caregiver.  They are the one who will spend their days with this person and you want to hire someone they will enjoy being with.  The patient also needs to be involved in compiling the instructions which will be given to the caregiver, so they feel they still have ultimate control over how they will spend the final months or years of their life.
*  Provide the caregiver with a detailed list of medications and when each one should be taken.
*  Provide a list of the patient's favorite foods and recipes, as well as any mealtime preferences and food allergies.
*  Explain sleeping, television, music and other preferences to the caregiver.
*  Make sure the caregiver knows who is and is not allowed in the home with the client.
*  Have the physical therapist or other medical personnel show the caregiver any exercises the client should be doing, the proper way to move the person and other important details of their care.
*  Give the caregiver a list of emergency numbers ... family members, doctors, therapists, etc.
*  Put all this information and anything else which you think will be important in a binder which the  caregiver can refer to if they have any questions.  This is especially important because occasionally the caregiver may become ill and a substitute caregiver will take their place. 

You should also make arrangements to have bills paid, taxes done and other business matters handled by someone other than the caregiver.  The caregiver should not be expected to take care of these things, so another family member, conservator, or public guardian will need to handle these matters if you or your family member becomes unable to handle their financial affairs.

If you need more information about retirement planning, common medical issues, where to retire, Social Security, Medicare, changing family relationships and more, use the tabs or pull down menu at the top of the page to find links to hundreds of additional articles.

Watch for my book, Retirement Awareness: 10 Steps to a Comfortable Retirement, which will be released by Griffin Publishing in 2018.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  morguefile.com

Social Security Myths and Misunderstandings

We have all read a host of discouraging news stories about Social Security, including that it is going bankrupt, people are living too long, and everyone should collect their benefits as soon as possible.  Many of these articles are unhelpful because they are based on distortions and myths about Social Security. These misunderstandings can cause people to make poor financial decisions which may hurt them for the rest of their lives.  As a result, I was pleased to see an article addressing these Social Security myths in the September 11, 2017 issue of the highly reputable business newspaper, Barron's.

You may want to look for the issue yourself at your local news stand or library.  However, here is a brief summary of what they had to say about the six most common myths about Social Security, as well as my comments:

Myth: "Healthy Payment Hikes are Back"

Although the COLA or cost-of-living increase for 2018 will be larger than what retirees have seen in recent years, when it has ranged from 0 to 0.3 percent, it is still smaller than the average increase of 2.6 percent which retirees saw over the past 30 years.  The 2018 COLA will only be 2 percent. Unfortunately, recent increases have been so low that the Senior Citizens League estimates Social Security benefits have lost 30 percent of their purchasing power since 2000.  While any increase at all is better than nothing, many senior citizens are finding that it is becoming increasingly more difficult to survive on Social Security.

Not mentioned in the Barron's article is the fact that all or most of the COLA in recent years has been eaten up by increases in Medicare premiums.  This will be true in 2018, as well, when the Medicare premium for most people will increase to approximately $134.  As a result, many retirees have seen virtually no actual increase in their checks over past few years and that will continue to be true in 2018.

In fact, Medicare increases sometimes jump if your total retirement income rises too much.  Sudden increases in retirement income, because of an unusually large IRA withdrawal or windfall, can cause your Medicare premiums to increase dramatically and retirees should consult their tax attorney and take into consideration all of the financial consequences of a large IRA withdrawal or income increase. However, the Medicare premium increase should only apply to the year following the increase in income, unless it is permanent or continues for several years. This will only apply, however, to people who have a very large increase in their retirement income.

Myth:  "Social Security is Going Broke"

There is NO danger that Social Security will completely run out of money, because people are continually paying into the program.  The trust fund, which supplements the amount brought in by current workers, has enough money to pay full benefits until 2033.  After that, the Social Security Administration could still pay out 77 percent of promised benefits until 2090 and 73 percent of promised benefits after that, just based on the ongoing payroll deductions of the workforce. Those lower payments would only happen if Congress does absolutely nothing to fix the problem. Most experts believe that if Congress increases the amount of Social Security taxes withheld from paychecks, slightly postpones the full retirement age or makes a few other small changes discussed later in this article, full benefits could be paid out for many decades in the future. 

Myth: "American Longevity is the Reason Social Security is Having Financial Problems"

This may surprise many people, but U.S. longevity for people over the age of 65 has not increased very much over the past few years.  In fact, the Barron's article reported that in 2015 longevity for Americans over 65 decreased for the first time in over 20 years, according to the Centers for Disease Control and Prevention.  In fact, according to an October 27, 2017 post by @Tad_Doughty, who manages several hundred million dollars in assets:

"The U.S. age-adjusted mortality rate -- a measure of the number of deaths per year -- rose 1.2 percent from 2014 to 2015, according to the Society of Actuaries.  That's the first year-over-year increase since 2005, and only the second rise greater than 1 percent since 1980.  At the same time that Americans' life expectancy is stalling, public policy and career tracts mean millions of U.S. workers are waiting longer to call it quits.  The age at which people can claim their full Social Security benefits is gradually moving up, from 65 for those retiring in 2002 to 67 in 2027."

In other words, people are retiring later and dying sooner.

The real problem in maintaining Social Security payments is that fewer children are being born and this will cause a sharp decline in the number of working adults by 2035.  This is the actual reason why it may be necessary to slightly increase Social Security taxes or make other changes.

Myth:  "Social Security is Too Dangerous for Congress to Touch"

The Barron's article indicated that this is a myth because Congress has made changes to Social Security in the past, most notably in 1983.  According to Barron's, any one of the following possible changes, or a combination of them, would solve the problem:

* Decrease the promised benefits by 20% for those who have not yet retired OR
* Increase the Social Security payroll tax, which is split between the employer and employee, from 12.4 percent to 15.2 percent OR
* Raise the income cap on Social Security taxes above its current level of $127,200. In 2018, the income cap will rise slightly to $128,700.  However, over 18 percent of earned income is currently exempt from Social Security taxes.
* Not mentioned in the Barron's article, but something which has been suggested by other experts, is the idea of further postponing the full age of retirement so that people are not eligible for their full benefits until age 68 in 2027 and the increase to age 67 be moved to an earlier date.

If citizens would like to save Social Security, they need to encourage Congress to vote on a Social Security package which would include one of the above changes or a combination of the above changes which would be less extreme than any single recommendation.  For example, they could raise the income cap to $200,000 or more, with significantly larger increases in the income cap in future years.  This would allow them to only slightly raise the payroll tax.

Myth:  "Start Collecting Your Benefits as Young as Possible

While it may be necessary for some people to collect early if they are dying or in such bad health that they can no longer continue to work, the vast majority of people need to worry more about how to maximize their income in their 70s and 80s.  The best way to do this is to postpone collecting as long as possible.  You can learn more about the advantages of waiting by using the benefits calculators on either the AARP or the Social Security websites.

The Barron's article also discussed confusion surrounding complicated schemes for maximizing your benefits by using the restricted application loophole.  However, this loophole only applies to people born prior to Jan. 1, 1954, many of whom are already collecting their Social Security benefits.  An earlier loophole called file-and-suspend has already been closed and the restricted application loophole will close over the next few years.  If the restricted application loophole interests you, you may want to do further research on the benefits of this plan and see if it will work for you.

The most important information which you may glean by reading the full Barron's article, titled "6 Myths of Social Security," is that the current Social Security problems are solvable, if Congress is willing to make the necessary minor adjustments.  In addition, most people would benefit by postponing their benefits as long as possible in order to maximize their income in their 70s, 80s and beyond, especially since the value of the benefits have declined dramatically in purchasing power over the past two decades.

If you are interested in learning more about Social Security, Medicare, financial planning, where to retire, common medical problems and more, use the tabs or pull down menu at the top of the page to find links to hundreds of additional articles.

Watch for my book, Retirement Awareness: 10 Steps to a Comfortable Retirement, which will be published by Griffin Publishing early in 2018.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  Google images

Financial Solutions for Retirement Problems

The best laid retirement plans can sometimes be derailed by a variety of financial challenges. Sometimes you simply may not have planned well.  You may have over-estimated your future income and underestimated your future expenses.  However, even if you have planned carefully and spent years trying to put something aside for retirement, a recession, high medical bills or a family emergency can result in a major setback.

The good news is that no matter what the reason for your financial problems, there are actions you can take to salvage your retirement. The most important thing you can do is face the issue head on and take action as soon as you realize you have a problem.  Below are a few common challenges which could hurt your retirement, along with possible financial solutions.

Not Enough Money in Your Retirement Savings Accounts

According to an article titled "Money Missteps" in the April 2017 AARP Bulletin, as recently as 2013 almost 30 percent of U.S. households headed by someone over the age of 55 did not have a retirement savings account or a future pension.  No money saved at all for retirement.

The sooner you recognize and deal with your financial shortfall, the better off you will be.  As frequently mentioned in other posts in this blog, you have a number of choices:  Continue working until age 70 before you start to collect your Social Security benefits, supplement your Social Security with a part-time job, downsize your home, move to a less expensive area, or get a reverse mortgage (assuming you have equity in a home.)  Most importantly, you want to avoid building up debt in order to finance your retirement.  Eventually, that will only make your situation worse.

You Have Retirement Savings But It is Dropping in Value

As we all discovered during the Recession of 2009, sometimes our retirement savings accounts can lose money faster than we ever expected.

Depending on your situation, you may want to talk to a financial planner to discuss your overall retirement plan and investment portfolio.  They could recommend moving your savings into a different mutual fund or into a safer, less volatile investment.  In addition, they may suggest you reinvest all the income from your retirement savings and add more money until you are able to re-build the value.   This could delay your retirement plans, but will probably be worth it in the long run.

You Have No Equity in Your Home

Some people hope they will be able to take out a reverse mortgage against their home equity to finance their retirement.  However, what can you do if your home has lost value and you now owe more than it is worth?

If you can afford the house payments and the house is in good repair, you may want to continue making payments until inflation and your payments rebuild your home equity.  It could take a few years, but might be worth it in the long-run.  If it is not an option for you to keep making the payments, you may be able to refinance your home through the Federal Home Affordable Refinance Program at harp.gov.  If you do not qualify, you could try to get your bank to agree to a short sale.  That is less damaging to your credit than waiting for foreclosure.

You are Buried in Debt

Unfortunately, some people experience a job loss, a serious medical problem, a natural disaster or other financial catastrophe in the years just before they hoped to retire ... or right after they have begun their retirement.  If they are too sick or too deeply in debt to recover, they may believe they have no hope to ever retire and/or may have to spend the rest of their life drowning in debt.

Medical bills are the most common reason for bankruptcy in the United States, especially for people who are near retirement age or who have already retired.  If you have suffered a severe financial setback which leaves you deeply in debt, bankruptcy may be the best option for you.  In fact, it may be the only way you can stay out of extreme poverty as you age, and the future financial stress could potentially worsen your health situation.  Talk to a lawyer and see if bankruptcy or debt reorganization is an option for you.  Many well-known figures have had to resort to bankruptcy in order to save their retirement.  Ordinary people should consider this option, as well, especially if you have so much debt that you know you will never be able to pay it off.

You Are Still Supporting Your Children or Grandchildren

An estimated 3 million people over the age of 60 are supporting their grandkids.  An estimated 60 percent of people over the age of 50 are financially supporting an adult child or other relative.  An unknown number of parents and grandparents extend some kind of financial aid to a family member on an irregular basis.  These numbers show that the vast majority of people who are retired or near retirement age are helping to support someone else.  If the burden of supporting other family members is derailing your retirement, you may need outside help in dealing with these problems.

If you are a grandparent supporting your grandchildren, in some states you may qualify to become the foster parent of your grandchildren, which would make you eligible to receive financial aid from the state.  In addition, you may be able to apply for housing vouchers, SNAP (food stamps), and other types of aid.  You are performing a lifesaving service for these children and should not be embarrassed to ask for financial help.

If helping your adult children or other relatives is putting your own well-being and retirement at risk, you may need to solicit assistance in setting boundaries with these people.  You can ask other relatives or your financial advisors to help you explain to these dependents why you are no longer able to give them money.  If you do decide to loan them money, put your agreement in writing and charge interest of at least 2 percent.  If they default, at least you will be able to deduct it as a "non-business bad debt" on your taxes.  However, your best bet is to avoid giving them money in the first place.

If your adult child or other relative is also in a bad financial situation, you may see if you can help them apply for various forms of financial aid ... housing vouchers, food stamps, disability, unemployment, welfare, SSI, etc.  If necessary, take them to your local social services department or homeless shelter to see if there are programs in your community which can help people who are homeless or nearly homeless get back on their feet.  Your goal is to make these relatives less dependent on you and more dependent on themselves or government aid.  After all, you will not be around to support them forever.  At some point, they need to have a plan to support themselves, even if that means they need to rely on disability and food stamps.

If you are looking for additional information about retirement planning, common medical problems, Social Security, Medicare and more, use the tabs or pull-down menu at the top of this page to find links to hundreds of additional articles.

If you want an overview of retirement planning tips, watch for my book Retirement Awareness: 10 Steps to a Comfortable Retirement, which will be available from Griffin Publishing in 2018.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  morguefile.com 

Sonata Senior Living in Florida

Are you looking for a senior living solution in Florida which would allow you to transition from Independent Living, to Assisted Living or Memory Care, as needed?  Whether you are looking for a residence for yourself, your spouse or your parent, the nine Sonata Senior Living communities in Florida could be a good choice.  They provide a range of living arrangements, 24-hour care and high quality amenities, including a variety of fun and interesting activities.

Where are the Sonata Communities Located?

Below is a list of the various communities and the services they offer.  They are all located in Florida:

Sonata Viera in Melbourne - Assisted Living
Sonata West in Winter Garden - Independent Living & Assisted Living 
Serenades in Winter Garden - Assisted Living & Memory Care
Serenades in Longwood - Assisted Living & Memory Care
Serenades in The Villages - Assisted Living & Memory Care
Sonata South in Boca Raton - Assisted Living & Memory Care
Sonata South in Boynton Beach - Assisted Living & Memory Care
Sonata South in Coconut Creek - Assisted Living & Memory Care
Sonata South in Delray Beach - Assisted Living & Memory Care

As you can see, their communities offer memory care facilities on the same campus or nearby.  These facilities are arranged in home-like villages or neighborhoods designed to help people with dementia feel more comfortable.  Most residents begin their Sonata lifestyle in an independent or assisted living apartment.

Resort Style Florida Retirement

Sonata West is their newest community and will have both independent living and assisted
living facilities.   The management also emphasizes what a great value it is.  Compared to many other senior living facilities, it does appear to be an affordable option.

Unlike many Continuing Care Retirement Communities, Sonata does not require the residents to "buy in."  The monthly rental fee includes a private apartment with full-size appliances (including your own washer and dryer), cable TV and internet, regular housekeeping and linen services, flexible dining options (including continental breakfasts and a variety of options for lunch and dinner), weekend brunches, scheduled transportation and other amenities.  If you no longer drive, you can use their "At Your Service" chauffeur service to go shopping, to doctor visits or the theater.  They even have an activities director to help plan parties, entertainment, outings and special events for the residents.  This is not a boring, old-fashioned senior apartment complex or nursing home.

The Sonata Harmony Assisted Living residences are also rentals and include all of the services listed above, as well as a personalized care plan and a 24/7 staff, including trained nurses, whose goal is to encourage physical, emotional and spiritual wellness.  People who need a little extra help are sure to feel pampered in a Sonata Harmony community.

The Sonata Serenades Memory Care facilities are focused on helping residents feel as normal as possible.  They are designed in neighborhoods or villages with extra safety features and dementia certified caregivers and staff.  Their design elements were chosen to be soothing and safe, while giving residents some freedom to roam around the community, including the outdoor spaces.  They have open floor plans, color-coding (to help residents find their way around), and reduced glare lighting.  They also have special programs to keep the residents active, well, and able to enjoy the best quality of life possible.

All the facilities encourage socialization through the use of elements such as front porches, courtyards and multipurpose areas.

Estimated Cost of Florida Senior Living Facilities

In addition to being able to rent rather than buy into a Sonata Senior Living Community, there are other factors which may help you afford to live in one of these facilities.  The facility directors will be happy to discuss options with you.  The amount of your rent will be calculated on a base price plus the cost of your specific level of care.  Therefore, the exact monthly rental will vary from resident to resident.

While Sonata does not list their base rent on their website, another website, SeniorHomes.com, does give an estimate of what it costs to live in an independent living apartment in the state of Florida.  According to their estimates, prices range from $1,174 to $4,700, with the average cost of independent living being around $2,545 a month.  The average cost of assisted living in Florida is estimated at $2,877 a month.  The average cost of memory care is $3,817.  As stated above, your individual fees could be higher, depending on the amount of personal care you need and the quality of the facilities.  However, these averages will help you determine if you personally believe you are paying a fair price to live a Sonata community, especially considering all they have to offer.

Solutions to Help You Pay for Your Care

The primary way to cover your costs, of course, is your normal retirement income.  Social Security, pensions, and interest or dividends from your retirement savings should cover a portion of the cost, if not all of it.  With most of your expenses included in your monthly rental, you will not need a great deal of additional income above your rent.  Your only additional expenses would be the cost of your Medicare premium, medications, co-pays, deductibles, other insurance, auto expenses (if you still drive), incontinence products, haircuts and similar personal expenses, plus whatever you might want for gifts, travel, shopping and similar luxuries.  In addition, residents should be prepared for their monthly rent to rise an average of 4 to 6 percent each year.

If you are selling a home when you move in, the equity in your home could be invested or used to purchase an annuity, and that income can be added to your Social Security benefits and other sources of income to also help cover your monthly rent.

If you have a long-term care insurance policy, it may be used to help pay the extra cost of your memory care and assisted living services in the Serenades communities.

If you, or your spouse, is a veteran, you may qualify for a special long-term care benefit of $1,000 to $2,000 a month to help cover your costs, but only if you need assistance with dressing, undressing, bathing, toileting, transitioning, or eating.

If you have tapped all other sources of income and still need a little financial assistance from other family members, the money they contribute can sometimes be used as a deductible medical expense on their federal income taxes.  They would need to consult with the CPA who handles their taxes in order to confirm they can qualify for this deduction.  However, if it works out that they can take the deduction, it could make it a little easier for your adult children or other family members to help you out financially.

How to Get More Information

If you believe that you or a family member would benefit by living in one of the Sonata Senior Living Communities, you can get more information at:

https://sonataseniorliving.com

If you are interested in more information about where to retire in the United States or abroad, financial planning, Social Security, Medicare, common medical problems, travel and more, use the tabs or pull down menu at the top of the page to find links to hundreds of additional articles.

Watch for my book, Retirement Awareness: 10 Steps to a Comfortable Retirement, which will be published by Griffin Publishing in 2018.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit: Photo of new Sonata West facility from the Sonata Facebook page

Family Responsibility Laws and Long-Term Care

Did you know that over half the states in the U.S. have family responsibility laws which could make you financially obligated for the nursing home bills of your parents?  Filial responsibility laws could also make your children legally responsible if you need to move into a skilled nursing or memory care facility.  Just as shocking to some people, if one of your children cares for you in their home, your other children could be forced to pay your caregiver child part of the cost of your care.

Which States Have Filial Responsibility Laws?

Family responsibility laws cover over half the people in the United States.  Below is a list of states which currently have filial responsibility laws on the books, although the laws may vary slightly from state to state and are unevenly enforced:

Alaska, Arkansas, California, Connecticut, Delaware, Georgia, Idaho, Indiana, Iowa, Kentucky, Louisiana, Maryland, Massachusetts, Mississippi, Montana, Nevada, New Hampshire, New Jersey, North Carolina, North Dakota, Ohio, Oregon, Pennsylvania, Rhode Island, South Dakota, Tennessee, Utah, Vermont, Virginia, and West Virginia.

How to Protect Your Family from Filial Responsibility Laws

Fortunately, there are actions you can take to protect yourself and your family from becoming financially liable for nursing home bills incurred by you or your parents.  The most important thing you can do is to have a plan.  Below is a range of possible options.  You only need to choose one.

1.   Put aside money for your future care.  People who have sufficient savings, cash value in their life insurance, or home equity are usually in good shape to pay for their own long-term care, although they may have to borrow against their insurance or home. As a result, they will not pass on the burden for their care to their children.  For example, if your elderly parents have enough money, insurance, or home equity to pay for their care, you will not be responsible for covering the cost, unless they use up all their assets.  At the same time, if you have also accumulated enough savings, you will protect your children from being liable for your care.

2.  Buy long-term care insurance.  Another option is to buy long-term care insurance which will pay for skilled nursing care, memory care, or an in-home caregiver.  The younger you are when you purchase this insurance, the less expensive it is.  You must be able to pass a physical to get it, so it may be too late for some applicants.

3.  Move into a CCRC.  A CCRC is a Continuing Care Retirement Community.  Typically, a senior citizen sells their home to "buy in" to the CCRC.  In addition, they pay a monthly fee which covers their food, housing and normal care.  If they need extra care as they age, they either pay for the extra care when they need it, or the cost is taken from their original "buy in" fee.  The facility guarantees they will be taken care of for the remainder of their life.  If there is money left over from the "buy in" fee at the end of their life, a portion of it will be returned to the family.  In most cases, you must be able to live semi-independently and not need skilled nursing or memory care when you move into the CCRC.  However, you do not need to be in perfect health.  For example, in most cases you can be undergoing treatment for cancer or other illnesses, as long as you are able to walk on your own and live in your own apartment at the time you move into the facility.  This takes a little advanced planning.

4.  Confirm that you are qualified for Medicaid.  If you do not have equity in a home and very few assets, you may qualify to receive Medicaid, a government program which will cover your long-term care.  However, if using Medicaid is your plan, you should make sure you are eligible and that either you or someone in your family is prepared to complete the application as soon as you are admitted to a skilled nursing or memory care facility.  Medicaid is a common way of handling these expenses.  In fact, Medicaid (called MediCal in California) is the most common payer of nursing home expenses in the state of California, as well as many other states.  If the family does not complete the necessary forms in a timely way, however, the family can still be liable for any expenses incurred until they make sure the paperwork has been properly dealt with. Whoever completes the forms will need access to all your financial information, including tax returns and bank accounts, so they can prove that you are eligible.  There is a catch with using Medicaid ... if the patient has recently gifted too many assets to their heirs, they may not qualify until those assets are first used to cover the nursing home costs.

5.  Choose a family member who can care for you in their home.  This is something you need to decide in advance and everyone in the family should be in agreement about who will care for you, which relatives will relieve your caregiver periodically so they can get a break, and how your expenses will be covered while you stay in your family member's home.  It would be helpful to have a family meeting and write out the plan in advance.  It would also be helpful to have a back-up plan, such as Medicaid, in the event your care becomes too much for a family member to handle.  For example, my sister cares for our mother who has dementia.  Our mother has wandered off a few times and fallen on several occasions.  If it becomes impossible for my sister to keep our mother safe, we have all accepted that she may eventually have to move into a memory care facility.

However you decide to handle the long-term care expenses of your parent or yourself, it is important to have a plan so you do not trigger family responsibility laws and leave some other family member saddled with unexpected expenses.

If you would like an overview of retirement planning, watch for my book Retirement Awareness: 10 Steps to a Comfortable Retirement which will be released in 2018 by Griffin Publishing.

For more information on financial planning, where to live after retirement, Social Security, Medicare, common medical problems and more, use the tabs or pull-down menu at the top of the page to find links to hundreds of additional articles.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  morguefile.com

Sources: 

"Filial Responsibility: Can the Legal Duty to Support Our Parents be Effectively Enforced?" by Shannon Frank Edelstone, American Bar Association's Family Law Quarterly, 36 Fam. L.Q. 501 (2002)

"Family-Responsibility Laws Could Cost Your Clients" by Jamie Hopkins, Barron's, April 24, 2017

Travel Scams to Avoid

One of the joys of retirement is the ability to travel whenever and wherever you want.  However, this freedom also exposes retirees to a wider variety of scams and fraud.  Anyone who is planning to travel during retirement needs to be aware of the most common types of travel scams.  We all need to learn how to minimize our risk and avoid becoming the victims of crooks, so we can truly enjoy our newly discovered freedom.

An article in the April, 2017 AARP Bulletin, titled "Vacationers are Easy Prey for Scammers," explained some of the types of scams which are common and could easily ruin the best planned vacation.  Below is a brief summary of these scams.

Hotel Scams

According to the article, hotels are full of scammers who are lurking around the lobby watching for potential victims.  One of their common tricks is to call your room after you check in, pretending to be the front desk, and ask you to repeat your credit card number and security code number over the phone.  They claim the clerk at the desk wrote it down wrong when you checked in. This is more likely to happen in small or boutique hotels, often in other countries. Do not fall for this trick.  In addition, be sure you use the room safe and interior deadbolt when you are in your room, and take advantage of any other security measures available at the hotel.  Be sure to look through the peep hole before opening the door.  If you are not expecting someone to be at your door and the person does not look like a hotel employee, call the front desk to confirm they are supposed to be there.

The Good Samaritan Scam

In this scenario, someone steals your wallet and then calls your cell phone to tell you they found your wallet and will mail it to your home.  As a result, you do not cancel your credit cards.  However, while you believe you were fortunate that such a good person found your wallet, they are actually crooks who are using your cards, knowing you will not close the accounts because you think the wallet is being mailed back to you.  While there are good people who will return your property if they find it, you would be well-advised to close the credit card accounts, anyway.  This is a good reason to bring only a few credit cards with you on a trip.  You should also make a copy of your cards, including the contact numbers for the card companies.  Keep the copies in a safe place, separate from your wallet.  It will make it much easier to close the accounts if your wallet is missing.

The Phony House Rental or B&B

If you decide to avoid hotels and stay in a rental home or quaint bed and breakfast, make sure you use a legitimate agency and check them out thoroughly.  Call the Better Business Bureau in the U.S. or the local tourist bureau in a foreign country.  Just because the company has a fancy website with gorgeous pictures of beautiful accommodations does not mean the place actually exists.  You could send in your deposit or payment, only to discover that the place does is not real.

Keep Your Distance from Strangers

There are more ways that you could become a victim while on vacation (or even in your own neighborhood). The helpful stranger who offers to retrieve a dropped purse or clean up a spill, may actually be trying to pick your pocket or steal your wallet.  Friendly people standing near an ATM could be looking for an opportunity to watch you input your PIN and, later, steal your debit card.

Someone offering to use your camera or cell phone to take your picture could actually be trying to steal the item.  This last crime makes me particularly sad.  I live near Laguna Beach, where I walk frequently.  I often offer to take photos of tourists who are struggling to get a selfie with their family.  While most locals may be genuinely kind and helpful, it is smart to keep up your guard and not let your cell phone or camera out of your sight.

Unsolicited Emails from Strangers

There are crime groups which send out thousands of emails every day containing special "offers."  They may offer to provide low-cost accommodations, help in obtaining an international driver's license, or other assistance for someone planning a trip.  Always investigate every company you use, especially if you have not used them before.  Sometimes they will have names which sound similar to legitimate companies.  Be very skeptical of unsolicited offers, no matter how good they sound.  In fact, if the deal sounds too-good-to-be-true, it probably is.

Be Careful How You Pay When You Travel

Whenever you are traveling, the least risky way to pay for gas, food and accommodations is with a credit card.  If you pay with a debit card, the money will be taken directly and instantaneously from your bank.  This means it could be more difficult to get your money back if you have been scammed.  If you write a check, they could cash it before you realize you have been scammed.  Be suspicious of any place which does not accept credit cards.

Be Careful, But Have Fun!

If you are cautious and suspicious of strangers and unknown companies, you are more likely to be able to relax and enjoy your vacation.  Just because we Baby Boomers are getting a little older, it does not mean we are easily fooled.  We have the ability to protect ourselves from the crooks who would like to ruin our vacations.

If you would like more information about scams affecting senior citizens, where to retire in the U.S. and abroad, financial planning, Social Security, Medicare and more, use the tabs or pull down menu at the top of the page to find links to hundreds of additional articles.

For an overview of retirement planning, watch for my book, Retirement Awareness: 10 Steps to a Comfortable Retirement, which is being published by Griffin Publishing in 2018.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  Laguna Beach photo taken by author

Margaritaville Retirement Communities

Baby Boomers are putting a new twist on retirement.  One of their musical icons, Jimmy Buffett, is opening a creative type of retirement community, which will be named after his hit song, Margaritaville.  The new retirement communities will be designed to create the laid-back, casual lifestyle which many Baby Boomers desire.  These active adult communities are being built in conjunction with developer Minto Communities.  The first one will be opened in Daytona Beach, Florida, with the sales office opening in fall 2017 and will be named Latitude Margaritaville.  The second one will be built in Hilton Head, South Carolina and is scheduled to have its sales office opened in 2018.  If these are successful, more are likely to follow.

Features at Latitude Margaritaville

Many of the features in this $1 billion neighborhood will be similar to what Baby Boomers have come to expect in similar active adult communities in Florida and other retirement hotspots.  There will be approximately 7,000 homes.  Community amenities will include a spa, lap pools, fitness facilities, retail shops, a band shell for live outdoor entertainment, and a free shuttle to Margaritaville's own private beachfront club.

Residents will be allowed to drive their personal golf carts throughout the community.  This will be a convenient way for them to access some of the Margaritaville themed restaurants, including Cheeseburger in Paradise and the Five O'Clock Somewhere Bar ... the perfect places to look for that "lost shaker of salt."

The idea is to create a fun place to retire.  The developers hint that Jimmy Buffett himself may show up for an occasional concert.

Margaritaville Theme

The idea behind the community is based on Jimmy Buffett's song lyrics.  In case you are not familiar with the song, some of the lines which inspire the community are:

Nibblin' on sponge cake,
Watchin' the sun bake;
All of those tourists covered with oil.
Strummin' my six string on my front porch swing.

I blew out my flip flop,
Stepped on a pop top;
Cut my heel, had to cruise on back home.
But there's booze in the blender,
And soon it will render
That frozen concoction that helps me hang on.

Wasted away again in Margaritaville
Searchin' for my lost shaker of salt.
Some people claim that there's a woman to blame,
But I know, it's my own damn fault.

Home Choices in Latitude Margaritaville

If the song lyrics are not enough to inspire you to want to live there, residents can choose from two and three bedroom house plans which are priced from the low $200,000s to the mid-$300,000s.  All of the styles include dens and garages.  The community promotes their houses by describing them as "your new home in Paradise."

Buyers may want to ask if each home comes with a bottle of tequila and a free blender!  If not, be sure to bring your own along.  You'll fit in just fine.

For more information about Latitude Margaritaville, check out their website and watch a video at:

https://www.latitudemargaritaville.com/

If you are interested in learning more about other places to retire in the United States or overseas, financial planning, common medical issues, Social Security, Medicare and more, use the tabs or pull down menu at the top of the page to find links to hundreds of additional helpful articles.

Watch for my book, Retirement Awareness: 10 Steps to a Comfortable Retirement, which will be published by Griffin Publishing in 2018.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  Margaritaville Twitter page.

Be Prepared for Emergencies

Whether you are age 30, 60, or 90, there will be  times during your life when you will be affected by some type of emergency.  It could be an injury, a health setback, an unexpected expense or a natural disaster.  While it is impossible to be prepared for every eventuality, it is important for everyone to plan for the most likely emergencies which could affect us.  Below are a few common types of events which might happen to a retiree, and how to protect yourself.

In addition to the list below, you may want to add to this list emergencies which could be common in your specific family or community ... such as early coronary events in your family, or neighborhood flooding during times of heavy rain.

Financial Disasters

According to Investopedia, in 2016 people in their 60s had a median savings account of about $172,000.  This means that half of all retirees had less than that ... many of them much less.  If you are living off Social Security, plus additional income based on dividends or interest on your savings, you do not want to spend the principal in order to purchase a new car, buy a hot water heater, replace a roof, or pay the deductible for surgery or other medical treatments.  The obvious solution is for everyone to save as much as possible prior to retirement and designate a portion of that savings as an emergency fund which you do not depend on to cover your essential living expenses.

In addition, you may want to discuss with your financial planner or investment advisor whether your money is invested conservatively enough to be protected, in the event of a drop in the stock market or other major financial reversal.

Falls

According to the National Council on Aging, about one in four people over the age of 65 falls each year.  Falls are the most common cause of fatal injuries and are a common cause of hospital admissions.  Keeping your body strong and getting regular exercise is the first line of defense in preventing falls.  Everyone should make sure their homes are well-lit and contain no loose rugs or other items which could cause you to trip.

You may also want to purchase a medical alert device, especially if you live alone.  You wear them like a pendant or bracelet and use them to quickly contact an agent who can call an ambulance, neighbor or relative for you, in the event of a fall.

You should also talk to your doctor if your blood pressure medicine or other medications make you feel light-headed or dizzy.  They may be able to change your prescription.

House Fires

According to FEMA, older Americans are much more likely to die in a house fire than younger adults. If you have trouble hearing, take sleeping medications, or have difficulty getting out of bed by yourself, you have an especially elevated risk of dying in a house fire.  Make sure your home is equipped with plenty of very loud smoke and fire detectors, as well as a carbon monoxide detector.  Change the batteries frequently, at least every six months.

Install nightlights in your home and plug them into outlets near the floor, so they can guide you to an exit. The air is clearer near the floor, so crawl out if you have trouble finding your way.  Be sure some of your nightlights have a battery backup, in case the electricity goes out.  Sleep with your bedroom door closed so you do not succumb to smoke inhalation if a fire starts in another room.  Check to see if you can get outside to safety from a bedroom window if the fire is burning between you and an outside door.

Natural Disasters

If you live independently, you need to be prepared to handle any natural disaster which could affect you.  Depending on where you live, that could include hurricanes, tornadoes, floods, blizzards, earthquakes or wildfires.  The Federal Emergency Management Agency (FEMA) says on their website that "being prepared can reduce fear, anxiety, and losses that accompany disasters."

Because you may move a little slower as you age, it would be wise to prepare a "get away" bag that contains some emergency cash, a change of clothes, a two-week supply of your medications, copies of your insurance documents, a list of important phone numbers and any other important items you will want to have ready if you ever have to hop in the car and leave quickly. Put paperwork and medications in waterproof plastic bags. If you have a back-up pair of glasses or an extra hearing aid, put those items in your bag, too. You may also want to include a flashlight, battery operated radio, small first-aid kit, photo id, and copies of items such as your birth certificate, Social Security card, Medicare card, etc.

Make sure the bag is not too heavy for you to lift by yourself.  If it is, get someone to help you put it in your car, where you can easily reach it and transport it to an emergency shelter, if you are evacuated.

Homeland Security has an online booklet called 30 Tips for Emergency Preparedness.  Print it out, read it, and keep a copy in your bag.  In a true emergency, you may have trouble remembering what you should do.

Make sure your bag is large enough for you to toss in any last minute items you may want to grab as you run out the door ... a tablet computer, phone charger, new medication, wallet, pet food, or similar items you may want to add, if you have time.  Some people have two bags ... one conveniently stored in their home and one they keep in their auto at all times.

In the event the disaster cuts you off from roads and outside help for a few days (for example, if the roads are flooded), you may also want to keep emergency supplies of food and water in your home.  A battery operated cell phone charger could also help you stay in touch with the outside world.  If you have a pet, make sure you have provisions for them, as well.

More Emergency Considerations

Depending on your health condition or other problems, you may also have to prepare for emergencies which are unique to you and your family.  We all have a tendency to tell ourselves that "someday" we will put together emergency supplies, save more money, or think about what to do in the event of a disaster.  Do not wait.  Do it now and you can relax knowing that, while you cannot possibly prepare for every eventuality, you will have done everything you can to protect yourself, your spouse, other family members, and your pets in an emergency.

If you are interested in learning more about how to prepare for common problems as you age, financial planning, where to retire, Social Security, Medicare and more, use the tabs or pull down menu at the top of the page to find links to hundreds of additional helpful articles.

Watch for my book, Retirement Awareness: 10 Steps to a Comfortable Retirement, which will be published by Griffin Publishing in 2018.

You are reading from the blog:  http://www.baby-boomer-retirement.com

Photo credit:  morguefile.com