SafeMoney 5-25-24

Episode Transcript

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Good Saturday morning twelve. On thislast Saturday of May twenty and twenty four.
Boy, that seems impossible, listeners, doesn't it. We are at
the last Saturday of May twenty twentyfour. June first will be next Saturday.
That means that the year twenty twentyfour is almost half over. The

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stock market for twenty twenty four appearsto remain steady as of this recording.
On mid morning Tuesday, May twentyfirst, the Dow was at thirty nine
eight sixty seven, up sixty onepoints recalled. This last week, it
reached its record high over forty thousand. The Nasdaq today remains sixteen seven ninety

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two. It remained level, butthe Nasdaq eased off as record breaking closing
level. The S and B fivehundred is up a few points at fifty
three eleven. Things continue to lookgood on the stock market, and it
may be it may be a goodtime listeners to cash in on some of
those gains on the stock market andconsider our thirty five percent gain on the

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annuity offering that special bonus annuity.That bonus is thirty five percent, and
that will result in a nice stockmarket gain transferred to our special thirty five
percent bonus annuity that would make anabsolute nice gain. Remember, with the

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annuity that pays that thirty five percentbonus, the value is limited to the
gains in the market. The valuedoes not decline the stock market declines.
So the value with a thirty fivepercent gain would be a nice, nice
addition to any portfolio. If youare a Universal healthcare remember, if you

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are receiving Universal healthcare insurance, youknow that as of this morning, there
is still a conflict and ongoing conflictbetween United Healthcare and Genesis. Now they
resolve that you still have coverage withUnited Healthcare as you do now until July
first, and after July first,Genesis may may Genesis may no longer be

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a part of that network. Sothat is a concern. I look for
some resolution to that well in advanceof July first, but we'll keep tune
and call me anytime you have questionson that. Call me at five sixty
three three three two twenty two hundredor some in email. Go to my

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website. Go to Dickshilling dot com, scroll over to the content icon and
pick up my email address if youlike to correspond in that matter. I
look for that situation to be resolved, but there's a long way to go
until July first. I would liketo think that some time after June first,

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they would have that situation resolved,but today that's still a concern.
Now. Also today, I'd liketo share with you another risk that I've
often discussed with our listeners for along long time, and that risk is
the risk of long term care costs. Now, long term care costs.

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Jen warth just a a survey inthis area, and they're talking about the
costs of care, and gen warsays that the world's population is aging at
a faster rate than ever. Peopleare living longer every day. Until twenty
thirty, ten thousand baby boomers willturn ege sixty five, So seven out

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of ten of these people will requirelong term care. Boy, that's that's
the scariest. Seven out of tenpeople turning age sixty five will require some
type of long term care in theirlifetime. The cost of that care varies
based on care setting, geographical locationof care, level of care required,

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among other things. Using gen WorseCost of Care survey, you and your
family can calculate the cost of longterm care across the United States Understanding what
the median cost is today is afirst step in helping you plan for and

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helping you plan for it. Andgenwre says that a home health care aid
on the national average will cost atleast sixty six hundred dollars a homemaker a
health aid working in the privacy ofyour home. An adult day care member

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in a private one bedroom facility willa crew five thousand dollars of monthly cost.
In full nursing care, a semiprivate room would result in eighty two
hundred and thirteen dollars for a semiprivate room. For a private room,

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it will cost over ninety five hundreddollars per month, nine thousand, five
hundred dollars per month. So thecost of care varies based upon the care
setting, based upon the geographic locationof care, and the level of care
required, among other things. Usinggen works Cost of Care Survey, you

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and your family can calculate the costof long term care costs throughout the United
States. But I encourage you totake a look at that because that is
very, very important, and thatis one of the risks that we face
with our assets. When the riskswhen we hit age sixty five remember we

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talked about the healthcare risk, butthat healthcare risk includes the costs of long
term care. Long term care isis someone with long physical illness, a
disability, or a cognitive impairment oftenneeds long term care. Long term care

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is different from medical care because longterm care generally helps you live as you
are intended, instead of improving orcorrecting the medical problem. Long term care
services may help with activity of dayliving, such as home health care,
respite care, or adult daycare.Care may be given in a nursing home

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and assist a living facility, ahospice facility, or in your own home.
Long term care may also include caremanagement services, which evaluate your needs
and coordinate and monitor your long termcare services. Someone with a physical illness

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or disability often needs hands on assistanceor stand by assistance with the activities of
data living. Most insurance companies usesix ADLs, six activities of daily living,
and those are bathing, continents,dressing, eating, toileting, and

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transferring. Those are the six activitiesof daily living. Typically, the policy
pays a benefit when you cannot performa certain number of the adels, such
as two of the six ADLs.The requirement for fertially tax qualified policies.

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Is being able to do at leastbeing unable to do at least two of
the six ADLs that we listed earlier. Those adels are once again, bathing,
continents, dressing, eating, toileting, or transferring. Those are the

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six activities of daily living. Andwhen you are unable to perform two of
those activities of their living without help, then you are considered long term care.
What's the average care? What isthe average annual cost of care?

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Boy? This is important. Intwo thousand and five, the national average
facility cost was seventy five thousand dollars. Now, the last survey that was
done was in twenty twenty one,and the average cost of a private nursing
home room was one hundred and eightthousand, four hundred and five dollars.

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The total today's cost of a semiprivate home room is ninety five thousand dollars,
and assisted living facility costs is atleast fifty four thousand dollars in a
one bedroom assisted living room. Costof home health cost of a home health
aid is sixty one thousand, sevenhundred and seventy six dollars. In twenty

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thirteen estimated national average costs facility costsor an excess of ninety three thousand dollars
monthly ninety three thousand dollars A onehundred one bedroom unit national average cost is

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thirty six hundred dollars a month.Home healthcare costs are at least forty four
dollars per hour for a registered nurse, over twenty dollars an hour for a
licensed practical nurse, or at leasttwenty dollars per hour for a health aid
or homemaking services. Your need forlong term care may increase over time as

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you need more and more help withthe activities of data living, or you
may need long term care after amajor illness or injury, such as a
stroke, a heart attack, orbroken bones. If you do not need
care, you may need nursing,home or home health care for only a

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short time, or you may needthese services for many months, or you
may need these services for the restof your life. It's hard to know
if and when you'll need long termcare, but the statistics that follow might
help determine that need. Life expectancyafter age sixty five is now eighteen point

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six years. In nineteen forty itwas only thirteen extra years after sixty five.
Now today it's eighteen years after agesixty five. Is life expectancy.
The longer people live, the greaterthan chance they'll need help due to chronic

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conditions. About seventy percent of peoplewho reach age sixty five are expected to
need some form of long term careat least once in their lifetime. About
eleven million Americans of all ages requirelong term care, but only one point

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seven million live in a nursing home. So I like to repeat that,
about eleven million Americans require long termcare, but only one point four million
people live in a nursing home.So that means they receive care at their

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own home or care in an assistedliving facility. About thirty five percent of
people who reach age sixty five areexpected to enter a nursing home at least
once in their lifetime. Of thosewho are in a nursing home, the
average stay in a nursing home isone year. Now think about think about

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that. Thirty five percent of peoplewho reach age sixty five are expected to
enter a nursing home for at leastonce in their lifetime. Of those who
are in a nursing home, theaverage stay in a nursing facility is about
one year. From twenty and fifteento two thousand and fifty five, the

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number of people age eighty five andover will almost triple, from almost six
million to over eighteen million. Thisgrowth is certain to lead to an increase
in the number of people who needlong term care. Now, how do
we pay for the costs of thatcare? Now, one of the main

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one of the main providers of thatcost is long term care insurance. But
a long term care insurance policy alsocan be very, very expensive. Be
sure you can afford to pay thepremium and still afford other health insurance costs

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and other expenses of living. I'mgoing to give you a typical cost of
long term care insurance. Let megive you some examples of costs. At
two hundred dollars, the cost istwo hundred dollars a day for a four
year period. At age fifty,the cost of that policy would be forty

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three hundred dollars. Four thousand,three hundred dollars. At age sixty,
the cost would be five thousand,three hundred dollars. At age seventy,
the annual premium for a seventy yearold for long term care would be over
ninety two hundred dollars, and atage seventy five, the average premium is

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thirteen thousand, five hundred dollars peryear. That's price hum long term care
insurance is expensive, but what longterm care insurance insures is also expensive?
Two hundred dollars a day is sixthousand dollars per month or seventy two thousand

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dollars annually. The risk of longterm care costs to our savings is especially
important for spouses. If one spouseis nursing home confined, look at this
cost for the survivor spouse's savings.Long term care insurance is one way of

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helping to pay these costs, andthat is nursing home costs. It does
not consider assisted living costs. Thatis not much more different from nursing home
costs and home healthcare that's an option. But at two hundred dollars an hour
charge for home healthcare, how muchis home healthcare? So if we resume

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here for four hours a day,that's eighty dollars a week. Over a
thirty day period, that's twenty fourhundred dollars a month, or annually,
that's twenty eight thousand dollars per year. So long term care insurance is the
possibility, but there are other waysto help pay the cost of long term

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care. One way is a newerproduct on the market, and that newer
product is called short term care insurance. Like I say, that's a newer
option that recently became availab and ifyou'd like to look into that, please
call me. I'd like to giveyou a quote on the costs of short

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term care insurance. Short term careinsurance is one way of helping to pay
the costs of long term care.Other ways of helping with the cost of
long term care are life insurance andannuities. Newer life insurance policies often have
a benefit for long term care costs. Some annuities provide an additional benefit for

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long term care costs by allowing aportion of the annuity value to help fund
these costs. The reality is longterm care costs are in fact a reality,
and there are really long term carecosts are a risk. There are

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risks, especially for couples, husbandsand wives. You need to have a
plan for long term care costs.It helps to talk with an advisor who
specializes in this type of protection.How do you find an advisor specially in
this type of protection? While dosome research on financial advisors that specialize in

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this type of planning, oftentimes lookfor an advisor who is considered a CFPS
Certified Financial Provider or an r IA, a Registered Investment Advisor, or a
CLU a Certified Life underwriter. Advisorshold these types of designations those advisors have

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received specialized training in matters of longterm care. I myself hold special designations
as a CLU as a Chartered LifeUnderwriter. With this designation, we receive
some specialized training in these fields,and I also hold the designation of CFC

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as a Chartered Financial Advisor. I'veheld these designations for years. In more
recent years, providers of these designationsrequire additional training to maintain these designations,
and these additional training requirements help keepadvisors abreast of changes in laws or changes

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in financial strategies which address these areas. Additional designations offered by life insurance company
affiliates. One affiliation is with thedesignation of an LUTCF that's called a Life
on the Writers Training Council Fellow ora CLT designation that is a certified long

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term care fellow. These designations simplymean that simply mean that foreignrollees that have
received these types of designations they've hadspecialized training in various planning topics. I
encourage everyone seeking advisor to look andto look into these designations attached to their

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names to help determine expertise in thesevarious areas. During this month of June,
we also continue to offer our virtualmonthly community meetings. Our next meetings
are scheduled for Tuesday, June eighteenthand Thursday June twentieth at ten o'clock in

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the morning. On Tuesday June eighteenth, Craig, who conducts these meetings,
focuses on the basics of Medicare andespecially the Medicare supplement programs. That's on
Tuesday June eighteenth. On Thursday,June twentieth, again Craig's focuses on the

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basics of Medicare and then talks aboutthe alternative to Medicare, and that alternative
is the Medicare Advantage Plans. Boyand listeners. As you know, at
the start of this week, we'veheard about a conflict between United Healthcare and

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Genesis, and that conflict continues today. United Healthcare has promised that they would
provide support for persons until July first. That's when the agreement, the current
agreement between United Healthcare and Genesis expireson July first, but as we oppose,

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as we approach the first of June, I look for some concessions being
made at that time and I lookfor some results. We've gotten many phone
calls. Feel free to give usa call. Call us at five six
three three three two twenty two hundredto talk about your situation and maybe we

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can give you some updates on what'sgoing on. But at this point,
I really don't have any news asfar as updates of that conflict to concern.
As far as I know, thenegotiations are still going on between United
Healthcare and Genesis, and I lookfor some resolution to that as we approach
the month though, as we approachedthe month of June, but there's no

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guarantee of that. As I mentionedbefore, coverage is available for Genesis through
July first, and in July first, then coverage with Genesis. Genesis will
no longer be a part of HealthcareNetwork. That's the way it exists today.

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As additional information comes in, willcertainly keep you abreast of that information.
I want to remind you again ofthose two important meetings we have coming
up here during the month of June, June eighteenth and June twentieth. On
June eighteenth, we talk about thebasics of Medicare and then we focus on

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the Medicare supplement plans that are available. On Thursday, the twentieth of June,
we again focus on the basics ofMedicare and then talk about the alternative
to original Medicare, and that alternativeis the advantage plan, And in particular

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we talk about the what we feelis the more competitive of the advantage plans
and these Medicare regions, and thatalternative is the AARP Medicare Advantage Plan.
And as you know, AARP isnot the insurance company. The insurance company
is United Healthcare. So if youlike to have information on that, please

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give us a call. Call saidfive six three three three two twenty two
hundred, and I encourage you toparticipate in these monthly community meetings which we
have focusing on Medicare. Attendees thatthese meetings tell us at the end of
the meeting, at the end ofthe two meetings that boy they have now

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they have a good understanding of thechoices they have with Medicare. And if
we stop and consider that, mygosh, with men with Medicare, with
original Medicare, we have ten Medicaresupplements. We get to pick one of
those ten Medicare supplements. Of theMedicare Prescription drug plans, there are eighteen

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eighteen plans available in these Medicare regions. We get to pick one of those
eighteen plans. And the alternative tooriginal Medicare is the Medicare Advantage plans.
There are eight Medicare Advantage plans availablein these Medicare regions. We get to

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pick one of these eight Medicare Advantageplans. Be like one of the persons
who attend these meetings. They sayat the end of this meetings, they
say, now I understand, NowI understand the choices I have with Medicare.
So be one of those persons whocan say that you have your understanding

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of what your choices are, andyou can pick one of those options.
So again, give me a callat five sixty three three three two twenty
two hundred, or email me frommy email address. Go to my website,
go to Dick Schulig dot com andscooled over to the contact icon and
drop that icon down for my emailaddress if you'd like to correspond in that

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manner. Looks like a great,great, nice weekend, so have a
good one. Looking forward to talkingwith you again next week. Good day,