By Karen Henderson

long-term-care-planning-cwanWe all take delight in planning for vacations and holiday celebrations but when it comes to planning for old age, we literally run the other way. Aging and death only happen to other people, and therefore we don’t need to talk about it – at least not yet. Why is this?

• Canadians have an attitude of entitlement; I am a taxpayer and therefore the government is responsible for caring for me in my old age

• It won’t happen to me

• My spouse will look after me

• The kids will look after me

The reasons we should care about aging are obvious:

• The first wave of Canada’s 10 million boomers started turning 60 in January 2006

• 1000+ people turn 65 every day

• By 2038, over 1,125,200,000 Canadians will have Alzheimer’s disease or a related dementia unless a cure is found before then. These realities make it abundantly clear that we all need to plan for old age – and not just financially. We need to understand the health care system where we live, plan where we wish to age and live out our lives, and communicate our wishes to family members and health care providers.

The bottom line: Long term care planning needs to be a part of every financial and/or retirement plan written today.

Here’s how to begin:

Step one: Understand and accept the need to plan for your aging care needs

Step two: Understand the health care system and care settings and services where you plan to live as you age

Step three: Know whom you can count on for care and support, both from your family and from health care professionals

Step four: Understand your family history and what chronic conditions you have or may face

Step five: Talk with your family about what you want – hold a family meeting so others can be involved to help and support you

Step six: Establish clear legal directions. Complete a will, Powers of Attorney and make copies available to those who need them

Step seven: Establish a funding source for long term care; this may be a special savings account, help from family or long term care insurance

Step eight: Gather all critical personal, health, legal and financial information and store it in one place for easy access

Step nine: Make a care plan that covers the ‘what ifs’

Step ten: Communicate the plan to your family and update it every year

Creating a care plan will take time and effort, but once it is completed, you will have accomplished two very important goals:

1. You will have added the missing piece to your financial/retirement plan

2. You will have removed a huge burden from your family; over time you all will be thankful that you took the initiative to plan ahead

As the saying goes: Just do it!

Karen Henderson, founder of the Long Term Care Planning Network, is an independent aging and long term care planning educator, speaker and consultant who works with Canadians and/or their professional advisors to help them understand and plan for the effects of long term care on one’s personal and financial well-being. You can reach Karen at 416.526.1090 or at karenh@ltcplanningnetwork.com.

By CWAN Global Press

The Canadian Wealth Advisors Network (CWAN) was established in March of 2009 as an online forum where investment professionals share ideas and best practices that allow them to meet the growing needs of their clients. As the CWAN community grew and evolved, it was expanded to serve both advisors and investors. Garnet O. Powell, MBA, CFA is the Editor-in-Chief of the Canadian Wealth Advisors Network (CWAN) magazine. He is an investment management professional with more than 20 years of experience. linkedin.com/in/garnetpowell

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