Broker Check

Seven Planning Areas for Seniors

June 03, 2019

Every person turning 65 should consider these Seven Areas of planning. While these would not be considered "Financial Planning", they should be on the table for discussion. Each area is large enough, and complex enough to warrant a separate discussion.

1. Retirement Income Planning - this would include a review of assets available, Social Security strategies, risk management, and income that maintains purchasing power into the future. Typically, Seniors consolidate from three to five advisors down to a single advisor for holistic planning as this occurs.

2. Estate Planning - Simply put, Estate Planning, typically done by an Attorney specializing in this area, determines who gets what, when, and how. Further, it provides for someone to make decisions on behalf of the person if / when they are no longer capable. Typically, Estate Planning includes a Will, Durable Power of Attorney, and Health Care Directive. The Will may include a Trust, or there may be a trust outside the will.

3. Health Insurance - Typically, turning 65 qualifies one for Medicare. It may, or may not be the best choice. For example, if still working and covered by an Employer Health Insurance Plan, it may be beneficial to postpone going on Medicare.

4. Prescription Coverage - Officially known as Medicare Part D, prescriptions were added as an unfunded benefit. Part D Rx plans may be included or separate from Medicare plans.

5. Long / Short Term Care- Ideally, those turning 65 would have already purchased Long Term Care benefits at an earlier age due to cost and medical Underwriting. If none are available, there are some Short Term Home Health Plans that may be available at a reasonable cost.

6. Final Expenses - If there are not enough sufficient assets to cover final expenses, planning for this inevitable cost makes sense. Even with assets in place, it may make sense to address this now rather than later.

7. Ancillary Benefits - Plans are available to cover dental, vision, hearing, cancer, critical illness, and dread disease. It may make sense to review options for these and include if warranted.

If you, or a family member, is approaching 65, feel welcome to reach out and schedule a "No Obligation Consultation"