Plan for Long-Term Care: Stay Independent, Healthy, and Financially Secure

  • Most older adults want to live at home, stay healthy, and protect their savings.
  • A simple long-term care plan helps you do all three.
  • Start today with a free 15-minute planning call.
Older adults reviewing Medicare coverage documents and healthcare options together at home.

What is long-term care?

Long-term care is non-medical and medical support that helps you with daily life when you need it, either short-term or for an extended period. It can include:
  • Help with daily activities: bathing, dressing, eating, toileting, moving around.
  • Household support: cooking, cleaning, laundry, shopping, transportation.
  • Supervision and safety for memory loss or dementia.
  • Skilled services when needed: nursing, rehab, or therapy.
  • Care settings: at home (home care), adult day programs, assisted living, or nursing homes.

Why plan now?

  • Most people will need some long-term care. Many needs are temporary; some last years.
  • Care is costly and can drain savings without a plan.
  • Family caregivers often juggle work, distance, and stress.
  • Medicare and most health insurance do not pay for ongoing long-term care needs.

What Medicare, VA, and Medicaid cover (in plain English)

Older adults reviewing Medicare coverage documents and healthcare options together at home.

Medicare

  • Covers short-term skilled care after a hospital stay and some home health services when medically necessary.
  • Does not cover ongoing help with daily activities over the long term.

Veterans Affairs (VA)

  • May cover nursing home or home and community-based services if you meet service-related disability and medical criteria.
  • Benefits vary; availability can depend on local resources and eligibility.
Senior veteran meeting with VA counselor to discuss long-term care and service-related benefits.
Senior woman discussing Medicaid eligibility and long-term care planning with an advisor.

Medicaid

  • Can cover long-term care at home, in assisted living (in some states), or in nursing homes.
  • Requires meeting strict financial and medical eligibility rules. Planning ahead is essential.

Common myths that stop people from planning

  • “I’m healthy. I won’t need help.” Fact: Needs often result from normal aging, not just illness.
  • “If it happens, my family will handle it.” Fact: Caregiving can be physically, emotionally, and financially hard without support.
  • “Medicare will pay if I need care.” Fact: Medicare does not pay for most long-term care.
  • “I’ll just move to a nursing home and let Medicaid pay.” Fact: Eligibility rules are strict, and not everyone qualifies right away.
  • “Insurance is too expensive.” Fact: There are flexible options and ways to combine insurance with savings.
  • “I’ll deal with it later.” Fact: Planning early can lower costs and expand your choices.

A simple 5-step long-term care planning guide

Talk with your family

  • Share what matters most: staying at home, preferred caregivers, faith, pets, routines.
  • Choose a decision-maker and backup (power of attorney and healthcare proxy).

Estimate needs and costs

  • Consider likely needs: home help, assisted living, or nursing home care.
  • Check local costs for home care, assisted living, and nursing homes in your area.

Review your coverage and benefits

  • List current insurance: Medicare, Medicare Supplement, Medicare Advantage, and any long-term care insurance.
  • Check potential VA benefits if you are a veteran or surviving spouse.

Build a funding plan

  • Mix and match options:
    • Personal savings and retirement income.
    • Long-term care insurance or hybrid life/annuity with long-term care benefits.
    • Home equity options such as downsizing or a reverse mortgage.
    • VA benefits and state programs, where available.
    • Medicaid planning if appropriate.
  • Work with a licensed advisor to compare options and pick what fits your budget.

Put your plan in writing and review annually

  • Documents: powers of attorney, healthcare directives, HIPAA release, will or trust.
  • Safety: home modifications (grab bars, better lighting, no-slip flooring), medication management.
  • Contacts: caregiving agencies, adult day programs, transportation, meal services.
  • Review your plan yearly or after any major health change.

How to stay independent at home (aging in place)

  • Make your home safer: remove trip hazards, install grab bars, add brighter lighting, use shower seats and hand-held sprayers.
  • Use helpful technology: medical alert systems, pill organizers, smart sensors, video visits with doctors.
  • Build your support team: home care aides, neighbors, faith community, senior centers, and adult day programs.
  • Give your family a break: schedule respite care so caregivers can rest.

Ways to pay for long-term care

  • Savings and income: pensions, Social Security, retirement accounts, annuities.
  • Long-term care insurance: pays for home care, assisted living, memory care, or nursing home care based on your policy.
  • Hybrid policies: life insurance or annuities with long-term care benefits; unused benefits may go to your heirs.
  • Health Savings Account (HSA): can pay qualified long-term care insurance premiums and eligible care expenses.
  • VA benefits: if eligible, can support in-home and facility-based care.
  • Medicaid: safety net for those who qualify financially and medically. Early planning helps.

Support for family caregivers

  • Training and education on safe caregiving tasks.
  • Community resources: respite programs, adult day services, support groups.
  • Care coordination: a geriatric care manager or social worker can help organize services.
  • Self-care: rest, social time, and medical checkups for caregivers.

Frequently Asked Questions

Is long-term care the same as medical care?
No. It mostly helps with daily living, not just medical treatment.
When should I start planning?
The ideal time is in your 50s to early 70s, but planning later still helps.
Can I plan if I have health issues?
Yes. Options may be different, but you still have choices.
What if I want to stay at home?
Most plans focus on care at home first. Home care is often step one.
Will I lose my home if I use Medicaid?
Rules vary by state. Get advice before acting. Early planning helps protect assets legally.
Is long-term care insurance worth it?
It can be, especially if you want to protect savings and have more care choices. A licensed professional can compare plans and costs for you.