What will your final years be like? Many elderly people need a caregiver to help them with daily activities like cooking, cleaning, and bathing. How can you cover the cost of those needs when you know you won’t have any children around to help you?

Long-Term Care Insurance

Long-term care (LTC) can be home health care or home care (there’s a difference) that a person gets continually over several years. Medicare only pays for part of it, and Medicaid limits your hours.

LTC insurance is another monthly bill, and most employers do not include it with insurance benefits. However, if you end up needing the service, it’s much better to pay for it over the course of your working years than to be unable to pay for it in your golden years.

Assisted Living

Assisted living, where each resident has an apartment but still receives care, is another option for childless seniors. This is very expensive.

Although insurance covers some of the cost, some seniors cash out on life insurance policies or get a reverse mortgage (where the mortgage company pays you each month for your home) on their home to afford the care.

Back to Retirement

If you plan to save more than you’ll need for retirement, you can use these funds for any long-term care needs that may develop. Although you can use a 401k, Roth IRA, or any kind of savings account offered by your employer, you don’t need a fancy account to save. Saving in your own basic savings account is better than not saving at all.

Although we’d all like to remain healthy enough to care for ourselves, it’s much better to prepare for the future than to be blindsided by sudden changes in life.