When you retire, managing your finances becomes more important than ever. You want to enjoy today while ensuring you have money set aside for the future. But with prices seemingly always on the rise — including the cost of health care — how do you plan for escalating senior care costs in your retirement planning? One solution many older adults are turning to is a Life Plan Community with Life Care.

What Does Medicare Cover?

Medicare is one of the most common ways to help cover future care costs. Here’s a brief overview of what each part includes:

• Part A covers hospital costs after you meet a deductible.
• Part B is optional medical expense coverage that requires an annual premium. If you don’t enroll when first eligible, your monthly premium may increase by 10% for each 12-month period you delayed enrollment. The longer the delay, the greater the penalty.
• Part D provides prescription drug coverage.
• Medicare Advantage plans are all-in-one managed care plans that cover services under Parts A and B, and often include Part D prescription drug coverage along with other additional services.
• Long-term care insurance (LTCI) is a private policy designed to help cover health care costs not covered by Medicare. Like life insurance, LTCI is more affordable the younger you are when you purchase it.

Types of Life Plan Community Contracts

A Life Care contract, like the one offered at Santa Marta, provides guaranteed access to higher levels of care and helps you plan for long-term care costs with more predictable monthly rates — all while offering an active, engaging lifestyle. Life Care at Santa Marta includes a highly refundable entrance fee, payable to you or your estate if you leave the community for any reason.

Life Care Brings Predictability to an Unpredictable World

While no one can predict the future, with the right planning, you can have more financial control over your budget. With Life Care, you’ll know in advance what your monthly expenses will be — even if you or your spouse needs a higher level of care. The only additional cost would be for extra meals.

The Ongoing Value of Life Care

Life Care offers valuable advantages and guarantees. While it can seem complex at first, here’s a high-level look at how it helps control senior living costs:

• Savings: Substantial savings compared to the average cost of private assisted living, memory care, and skilled nursing.
• Asset preservation: Lower costs for higher levels of care help preserve your assets over time.
• Tax savings: A portion of your entrance fee and monthly fees may be tax-deductible as prepaid health expenses (consult your financial advisor).
• Peace of mind: Your family won’t have to worry about where you’ll go if your health changes. Pre-planning now means you stay in control of future decisions.

Life Care Is a Smart Plan for Your Future

Choosing a Life Plan Community with Life Care — like Santa Marta — offers the residence options, amenities, services, and social opportunities you desire, while also providing financial security and peace of mind for you and your family.

To learn more about our Life Care option, contact one of our helpful senior living counselors.