Long Term View of Care

Hello this is Willa Hardy with brand talk radio. We all about breaking down the walls of race and denomination your chosen Truth Network podcast is starting in just a few minutes. Enjoy it, share it, but most of all, thank you for listening to The Truth Podcast Network. This is the Truth Network welcome to finishing well brought to you by Cardinal guy, certified financial planner belonged to Schild, best-selling author and financial planner helping families finish well for over 40 years of finishing well will examine both biblical and practical knowledge to assist families in finishing well, including discussions on managing Medicare IRA long-term care life insurance and investments and taxes.

Now let's get started. Finishing well, finishing well is a general discussion and education issues facing retirees.com partner advisors, I'm Schild, CFP, insurance this show does not offer investment products or investment advice. So today I'm finishing well, a certified financial planner homicidal. We are once again going to take a longer term view and take a look down the road and see what our future self might be concerned about versus word current self is and so along those lines. I'm sure most of us are familiar with her. I hope you are Jesus told a parable in Matthew 25 and he talked about 10 virgins who went out to meet the bridegroom and they had some lamps and they had some oil in five of them brought plenty of oil and five of them. When they woke up after they'd all fallen asleep because bridegroom was late in coming short of oil and so they try to get oil from the other people didn't have enough oil and and so they went out about how well the really sad news was that when the bridegroom showed up. They weren't there because he went to and later on when they tried to get into the banquet. You know there was weeping and gnashing of teeth out there and so yeah it's a really difficult it's a difficult thing to hear.

But Jesus taught it very specifically for reasons that that we need to be thinking about you know what it what is he talking about what is this oil how much oil do I need how do I get it. And boy, I don't want to be the guy standing outside. You know want no oil went when I needed and so it's it's worth contemplating.

We want you to take your own interpretation. I give you a little hint in my opinion, Psalms 119 verse 105 it's actually Minoan sections talk about your soul.

It says thy word is a lamp unto my feet and a light unto my path. And so you know there's that in my own life. I'm thinking I need a plan in order to get as much word oil you know however that works. The more God I can get in there. You know, the more a minute.

Be ready.

Really Hans and today show. We want to talk about this from a practical level of like when you take a long-term view of your life. You know there's going to come a point right where you don't know longer able to go to the bathroom or you no longer able to quote yourself or how you get to pay your bills when when when you're not so coherent anymore right yeah you were talking to people that are actually calling in their calling in and they're asking for retirement and they're ready to take a long-term view in the 60s, 70s them in their 60s somewhere in the early 60s there.

There coming in and they're saying help me take a long-term view. Let's plan out this thing called retirement.

Let's take, let me show you all we got whatever money we say whatever assets we require, and then the Social Security that will be entitled to. When she returned that on and about her health insurance in case we get sick as I can work with Medicare and knows all the topics we talked about on the show and the one that the most good comes from where I get the most satisfaction as a financial planner and a retirement planner is around long-term care is influencing these people that are already ready to take a long-term view and I'm sitting down with them and I'm saying okay piece it is long-term care is long-term view is your money is. You may some point in the future need to have somebody take care somebody and it would be nice to have a professional somebody or you may not even have the choice of you may have to take professional somebody and so what what I what I work on doing and part of his long-term care, long-term view, is to get people to carve out part of their savings try to influence them to carve out part of their savings and put it toward paying for that and the government supports that. When I was reading what I do mean the government in any way mean first of all, they made some provision for tax deductibility of long-term care insurance and it's fairly complicated. Maybe another show, but more importantly, which is simpler made provision back in 2008 under the pension protection that they made provision to where you can avoid taxes on money accumulating inside of an annuity or life insurance policy and then using that to pay long-term care expenses, thereby you'd never pay taxes on her making the money pulled out tax-free.

So we want to get into tax implications too much on the show today because it takes away from the message but the message here is, let's sit down when you're in your 50s 60s or 70 when you come to us for retirement and look at your retirement assets.

Let's make a decision whether we can position part of them over the side. We can set them aside in an annuity or life insurance that pays for long-term care. If you need that all mouthful that we can talk about, but I don't really want to get into detail on this show so much, as I just want to generally talk to people and talk to you if you're listening today about the importance of prioritizing and then put your money where your mouth is to actually set aside some your savings right so the issue is, what are you get into with with these situations and and and I have even incorporated it into your plans for you, your spouse, your family, and we talked about on the show many times that that there's a lot involved in this. The bigger issue is what were saying is there's we got ways to do it that are really cool that I think are brilliant when it comes to using no 401(k) money or money that's in IRAs and all sorts of different ways that that that that can be done that look like the really a lot of wisdom in them. But the biggest wisdom first is to suck it. Then I gotta do something. I've got this issue and what is what's the plan to back up little bit or object or whatever you want to call it.

You may be thinking that in your mind right now thinking if I do have these resources and you're talking about taking a piece of and moving it over here.

Set aside to take care of this thing that may or may not happen to me and you know what people are thinking is why got enough money. If this happens all the paperwork myself that that's one of the biggest objections that I get from people that have no substantial retirement plan that happens to me all paperwork myself and so what I'd like to do go there. What is that look like and I paying for it yourself. First of all you not to be in your 60s most likely to be in your 80s or 90s and if you've ever sat down with an 80 or 90-year-old person who can try to convince them to pay for just about anything. Start just in department. Some of their savings and equity to pay the home healthcare aid or to pay a home healthcare agency that aids out to take care of them. Good luck with that. My dad did have plan assets and fallen and broken his neck and we needed help and we actually had to go out of town for the weekend because we were his caregivers. Tammy mine and so we call these home healthcare people and Mandy kicked them out of the house when you gave it out. I went over to see him after that to see your dad what got me was limited partner that are fun and you gotta laugh at it. He kicked them out of the house, but he's fairly typical when obsessed with millionaires, multimillionaires who are in their 80s or 90s and their kids, their kids are in their 50s and 60s and their kids are taken over all financial. Thank you dad or mom can't do it themselves anymore and it's all been kept a secret, interdependent, digging through there and they brought me in the cat referee here in Canada and some of the financial question part of the deal is that mom doesn't get from care brought in, and if the daughter who flew into town who's taking care of mom doesn't get some help. Pretty quick.

She's going to be sick. Go back to her job and back to her family and then mom would get plenty of money go for this is all me talking this 80 or 90-year-old person out of just a little piece of their savings just for a week of this stuff is like the price of that stuff and I can see the look of my desk. That is how much you know and and it was just it was unthinkable to him, which is really sad. You know, because again it was just something that that that I guess was a lesson that I learned like when you're there.

Things look differently and that's the point that you're trying to make is that our young South sometimes have to give a word to work to our younger selves and so you can see this long-term view is really helpful for my perspective were talking about today with certified financial planner Hans Schild again. The show is brought you by Cardinal guide Cardinal guide.com and a crisis of the videos that Cardinal advisors on YouTube and so there's always Hans's book the complete cargo guide to planning for living in retirement, which is there available@cargillguide.com so when we come back we got more this long-term view and some really cool strategies. From my standpoint. Once you grasp the concept of how you know when I get older.

In a inmate is not unlike the 10 virgins that you thought well I'll be ready when the time comes about when the time comes, you're in a different position than you were when it starts it will be right back.

Hans and I would love to take our show on the road to your church and Sunday school Christian or civic room. There's a chance for you to advance the kingdom through financial resources and leveraging Hans expertise and qualified charitable contributions veterans aid and attendance, IRAs, Social Security, Medicare, and long-term care. Just go to cargo guide.com and contact Tom to schedule a live recording of finishing well, your church, Sunday school, civic contact on that. Cardinal guide.that's Cardinal guide.com welcome back to finishing well with certified financial planner Hans Schild today show, taking a long-term view what's it going to be like for my older self as these are questions that are really valuable for us to really deal with while we can about what we were talking about really weird about this 80 or 90-year-old person who had money and they have resources in their panic thinking will you tell me I needed to buy long-term care insurance and I told you I had enough money if I ever needed it and now we need care daughters out there.

She's been taking care of me for two weeks. She's tired I'm ornery cleaning meals need to be prepared and frankly we'll get some help in your ongoing nursing home so therefore I was going to come get some of that money out that I say, start paying for those home healthcare.

Yeah right yeah I mean it usually doesn't go there and we gotta wait until 80 or 90-year-old mom or dad is completely out of it in the daughter of the power of attorney orders and so the comment that I wanted to make was somebody stubborn when the 90 pretty good chance they were stubborn when they were 65 or 70 and what I'm saying is the people that are rejecting this whole idea that have money at 65 or 70 or stubborn and I'm fine with that ideal stubborn people all the time that they're going to be even more stubborn in their 85 or 90 so that you want to say on doing that now I so I just want to break down the barriers a little bit and I want you to win your point of retirement planning. Many of you probably need to do that.

He probably need to get your all retirement and how your part and parcel of money to yourself and God and everyone else over your whole retirement. We do, and the topic at today's show is I would like you to consider taking a portion of your savings in your retirement savings.

Setting aside in either a life insurance policy or an annuity policy pays enhanced benefits for long-term care myth that simple and not about spending this portion because you're not going to the insurance company and it's not gone is just moved from wherever it is now put with the insurance company you still have a cash value with insurance put in a different place you can grow on a tax-deferred basis and then when you ultimately needed for long-term care payout.

It's just going to be there, go back to this person in their 80s or 90s is a little stubborn to be all for me and if your dad had a life insurance policy or did have electric policy but paid for long-term care. He would've been all for collecting.

Would you grew that run definitely what is and and and what what you know what it wouldn't change things for me in the in the guilt that I feel it to this day that we didn't keep them at home because what he really needed what would really, you know, given him a lot better quality of life. The last for five months of his life would've been able to stay at home. You know what we just did not understand the process and selection. I'm always been grateful for the opportunity to share with people on the show that we know what we learned in that that that they can get this for their families and actually for themselves that you know how much better would it have been for him and you know the story had he actually stayed home rather than going back into the rehabs and stuff that he did what happened. Now go back to the people in their 70s which is most what I'm talking about here when you're doing financial planning retirement planning. Considering how much you have in your IRA much you have saved separately.

How much is your Social Security check how much is your pension. If you have one, and making all that work, she need to spend in retirement how much you spend. Later in retirement and that's what we do for a living and all I'm saying is if you do plan with 40 working hard about peace of your savings and show you how you can put that over here prepared, and prepare for long-term care that when you get in this situation. If you do that can be upon there to draw which is going to give you a lot of peace of mind through the holy retirement and then furthermore, it can make it easier on your family actually get to the care you need now back to you in your 50s or 60s or 70s and you do come into me or you call me here you're considering you you maybe send her all night. Call him because I don't really have much money and I don't think that you have money set aside for this so no point calling them well here to tell you is give me a call because there is nothing better than to get an assessment if you got a problem lurking out there. You don't want to avoid is an assessment and if you truly can't go forward hybrid long-term care while I'm certainly not recommended, but we have options for you to take carveout PC your bunch to pay for a traditional long-term care policy or short-term. Actually, what you did Rob get his financial resources.

Our love to have an annuity or the life insurance policy. If I had a big IRA and all that but based on what happened in my life.

I this was really helpful for me just to see and for my wife that you know there's no explaining how the quality of of how she felt went. When we when we cover this with her and she felt like I'm in a be taking care of his sheep. She experienced that with my father's expensive my mother to some extent and with her own mother. You pay a premium about what is every month and you got the basic long-term care protection that pays facility and it pays all the pays pretty substantial benefits at home that if your dad had something like that life would've been a lot easier now. I mean is, calling Christiana resources to do something with that was set aside the money, which is really cool because the monies can be there regardless if you need to care but as what we have. There's no doubt he would've jumped but admits it, I got I got a church that let's get those people with Dragon. Yeah, my dad was so that you know the people in the hot little he was hit in the buzzer little hand buzzer just come every five minutes, and then there's the date you getting out of bed so they finally strapped him in the chair. They put them in the chair you want to get out of bed and they strapped him in the chair and he was so stubborn while he was in the hospital that he bounced his way out of sheer will and strength out of the room and into the hall so he could talk to the nurses and some meaning just yet.

Once he got home he you know trying to do things for him was to find all about stubborn you know it might be that way when I'm yeah I I'm with you it's it's that's that's the idea of going okay.

Let's take a long-term view now and and really the younger the better of me. I I'm showing my policy to a lot of people that are my a lot of people coming in are 6364 65 and I'm 63 and I bought my policy when I was 53 and my wife is 52 and it's a 10 year pay. So this is the year that I finish paying for and I show that people or I talk about it and got $130,000 of cash value into it and that's about the amount of the paid-in premium and but I tell people you by a similar policy now at 63 or 4 o'clock to about double because you're 10 years older, but so don't let those numbers scare you wheat we've got all kinds of ways to work and rework this and don't let your health scare you away, either because if you have health problems that certain policies are available to you. We got others that are so if you're willing to consider taking part in your savings and put it aside for this problem.

We got all kinds of solution from my perspective it's not that dissimilar from what Jesus was talking about in Matthew that if I don't understand what this oil is is no time to bury my head in the sands is to figure out what's he talking about. Yes, I can have this settled in and digging into it in spite of the fact that sort of difficult conversations right and but this is along the same lines, but I wanted that it I I continue on until the people.

Just tell me to stop getting not by okay and I look at that in the note because I'm in a feel good in myself that I recommended because I'm dealing with the children. 20 years from now. Maybe I'm not but Tom will be well hope you are staying. Yes, things I wanted to talk about is how many people that we have from all over the United States and we were like in all 50 states and the District of Columbia, and this insurance stuff that were talking about hybrid long-term care is regulated by the state insurance department so you can imagine there's different things available.

Different options available in each state and were licensed and keep up with the available offerings in all 50 states and DC thankful to the podcast and YouTube, and the ability to deal on on assume meeting we just now our day is spent with people all over the United States.

There are different laws for life insurance in different states. Yeah.

For starters, they're similar because they're laid out by the NAIC. The national Association of insurance commissioners that each state has their own little version and where it comes into play is all these companies have to file these policies with each state insurance department and so you can imagine that is an insurance company and then they gotta tailor their version to whatever the laws of the state are the whims of the insurance Commissioner so you like California for instance the short term care policy that you got your North Carolina is not available. Just don't approve a short term care policy. There are things available and then the things that are available. These hybrids we been talking about hybrid life insurance hybrid annuities traditional long-term care then California has its own version of that. So then you just get a lot of intricacies would we don't really need to explain to people because if you call from California. We just know about the California stuff and that's what were going to recommend and do.

The point I wanted to make is if you're listening to this anywhere in the country. We have options available for you in your state. We can do it right over the phone guy is no time like the present. Because the sooner you do it you can see that's the more options you have an instant and somewhat the better options you have right oh yeah, it is God's work is spreading all over the country and it is really hard to find a specialist in long-term care really is. You can call people up at city Opera policies do you have a policy on people are going to say yeah we're specialists were trained in this we have experience with it and then we have most of the available policies and all of these areas available and whatever is available in a given state. We have it were familiar with it, we know what to recommend so and just truly uses home and then the customer's willingness to work over the phone and over. Assume it's just opened up a whole country sauce while we ran out of time again around salad. Thank you. You and will look for what God does. Along all these lines, thank you so finishing well is a general discussion and education of the issues facing retirees cardinal guide.com Cardinal advisors upon child CFP some insurance this show does not offer investment products or investment advice. We hope you enjoyed finishing well brought you by Cardinal guy.com is a cardinal guide.com for free downloads of the show previous shows on topics such as Social Security, Medicare and IRAs, long-term care, life insurance, investments and taxes as well as constant best-selling book, the complete cardinal guide to planning for and living in retirement and the workbook once again for dozens of free resources past shows to get Hahn's book go to Cardinal guy.com if you have a question, comment or suggestion for future shows. Click on the finishing well radio show on the website and send us a word.

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