Pillar IV
Long-Term Care
The importance of planning ahead
In a world of uncertainties, planning for the future is a responsibility we owe ourselves and our loved ones. As we journey through life, it becomes increasingly crucial to recognize the importance of financial planning, particularly when it comes to long-term care.
Long-term care encompasses a range of services and support needed by individuals who may be facing chronic illnesses, disabilities or a myriad of other conditions that hinder their ability to live independently. Unfortunately, the costs associated with long-term care can be overwhelming, placing a significant burden on families if proper preparation is not undertaken.
This area is where the essence of financial planning for long-term care shines through. By proactively assessing and strategizing your financial situation, you can safeguard yourself and your loved ones from the potentially crippling financial consequences of unanticipated care needs.
A well-crafted financial plan for long-term care allows you to explore various avenues for funding, such as long-term care insurance, personal savings or government assistance programs. It provides a roadmap to help you maintain control over your financial resources, ensuring that you can access quality care while preserving your assets and maintaining your desired lifestyle.
Did you know?
- 33% of all individuals have considered Long-Term Care insurance for a loved one.
- 64% have done little to no planning.
- 62% plan to purchase Long-Term Care insurance based on a health crisis.
The reality
- 67% of the aging population expect to receive care from a loved one within 5 years.
- 16% feel prepared to provide care for a loved one with special needs.
- 85% believe they will never need care in the future.
- 70% of individuals 65+ will need long-term care.
- 85% of married couples 65+ will need long-term care.
The COsts
- 82% of people believe they can afford and access the care they want when needed.
- 78% of all individuals underestimate, overestimate or have no idea what Long-Term Care Costs are.

Early engagement in financial planning empowers you to make informed choices about your long-term care options. It enables you to evaluate the different types of care available, from in-home care to assisted living communities, and to determine the most suitable path for your unique circumstances.
By taking an active role in planning for your long-term care needs, you gain peace of mind, knowing that your wishes will be respected and your dignity upheld.
National Average
long-term care Costs
Only Continue
to Increase…
By 2035…
Home healthcare will cost $9,600/person/month.
Assisted living will cost $8,550/person/month.
Nursing home care will cost $15,583/person/month.
Financial planning for long-term care is not solely about you—it’s an act of love for your family and those individuals who may one day provide support. By taking the time to plan ahead, you can alleviate the emotional and financial strain on your loved ones, allowing them to focus on providing the care and support for which you deserve and yearn.
At Foundational Wealth Partners, we understand the significance of long-term care planning. Our dedicated team of experts is here to guide you through the intricate financial landscape, offering personalized solutions tailored to your unique goals and aspirations. Let us help you pave the way for a secure future, so you can live with confidence and embrace the journey ahead.
Planning = Protecting Your Legacy

Invest in the power of financial planning for long-term care today. It’s an investment that will protect both your financial well-being and the well-being of your loved ones tomorrow.
How do I qualify for a Long-Term Care plan?
It depends on your financial and health suitability. Underwriters will consider state net worth guidelines, liquidity considerations, your health history, family history and current prescriptions before making a decision on whether or not you qualify for coverage.
What are the 6 activities of daily living (ADL) and why do they matter?
Bathing, transferring, toileting, dressing, contingence and eating are the six ADLs. When you lose 2/6 of these, you qualify for receiving long-term care financial support.
How quickly can I access my benefits?
It depends on your elimination period, which is time deductible not a dollar deductible. In most cases, there needs to be a qualifying event (30, 60, 90, 120 or 180-day period). This need is met once per lifetime.
What happens after the elimination period?
Once the elimination period is over, long-term care beings paying benefits and the premium is waived while on the claim.
What can I use my benefits for?
You are entitled to use your benefits for a few purposes:
- Care at home, including personal care, health aide, homemaker and chore services, nurse services and a therapist
- Community care – adult day care
- Assisting living facility costs
Nursing facility costs, which may or may not include private and semi-private rooms and memory care
How do I implement a Long-Term Care plan?
There are three steps and you’re in:
- Application (where you divulge personal information)
- Underwriting (this action often takes 2-12 weeks)
- Delivery (when you accept the contract)
Commonly Asked Questions
How Do I get and qualify for LTC?
Most people know they need long-term care money but few take the time to include it in their financial plan.
Our goal is to help answer your questions and connect you to the resources you need to thrive later in life.
What happens during the elimination period?
During the elimination period, Long-Term Care does not pay the benefit and health insurance or Medicare may cover some of the short-term costs. Other costs will need to be paid out of pocket. If this is a concern, discuss short-term care with your financial advisor to bridge the gap.
What is the most common elimination period?
90 days is a standard elimination period.
References
Cost of long term care by state | Cost of Care Report | Genworth. (n.d.). https://www.genworth.com/aging-and-you/finances/cost-of-care.html
How much care will you need? | ACL Administration for Community Living. (n.d.). https://acl.gov/ltc/basic-needs/how-much-care-will-you-need
“Long-Term Care Insurance Facts – Data – Statistics – 2019 Report.” 2019 Long Term Care Insurance Facts – Data – Statistics, Long-Term Care Insurance Costs 2019 – Long-Term Care Insurance Claims & Buyers, www.aaltci.org/long-term-care-insurance/learning-center/ltcfacts-2019.php. Accessed 16 Aug. 2023.
Long term care insurance facts statistics information on long term care planning from long term care insurance industry organization. (n.d.). https://www.aaltci.org/long-term-care-insurance/learning-center/fast-facts.php
Palazzolo, A. (2023). Planning for Long-Term care. HealthView Services. https://hvsfinancial.com/2021/06/17/planning-for-long-term-care/
The National Council on Aging. (n.d.). https://www.ncoa.org/article/get-the-facts-on-chronic-disease-self-management