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What’s the maximum you should spend on long-term care insurance? What experts say
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As a senior, planning for the extra help you might need for your daily care can feel overwhelming. But figuring out what your future long-term care needs might be, along with the potential costs and what you can afford to pay, can benefit you now and over the long run. And, it can also help you find ways to cut down on the costs tied to your long-term care, like securing a long-term care insurance policy. This type of coverage can be critical as you age, as it helps cover the costs of your long-term care, whether that’s in a nursing home, an adult day care facility or via a home health aid.
But while this type of coverage can be crucial, it also comes at a cost. For example, the price of a long-term care insurance policy with $165,000 in benefits averages about $950 per year for a single, healthy 55 year-old man. The same policy and benefits average about $1,500 for a healthy woman of the same age. But the average price for the same policy for a 60 year-old man jumps to about $1,175 a year and increases to about $1,900 annually for a 60 year-old woman.
That’s just the average, though. And, depending on your age, health and other factors, the cost of long-term care insurance can be much higher or lower than the average. So what’s the most that experts say you should pay for this type of coverage?
Find out how much a long-term care insurance policy could cost you today.
What’s the maximum you should spend on long-term care insurance? What experts say
What long-term care insurance will cost you can fluctuate based on your age, the type of insurance you choose, where you live and more. But Alex Cruz, the owner of Matrix Insurance, says the maximum that you should spend on your long-term care insurance policy is not necessarily tied to a dollar amount, but rather, a percentage.
“There is no maximum amount [but] you shouldn’t spend more than 5 to 6 percent of your annual income [on] premiums,” Cruz says. “If you go beyond that, it will become a financial burden.”
When it comes to the maximum amount you should spend on a policy, the answer depends on each person’s circumstances, says Peter J. Landry, managing director of insurance and annuities at Wells Fargo.
“You’ll want to consider the average monthly amount of care, as well as the typical amount of time that care will be needed, which is approximately four to six years in most situations,” Landry says. “Sometimes care is needed for a longer period of time as well, so family history plays a role too in determining a suitable amount of coverage.”
With multiple factors impacting the cost, a good place to start is to figure out how much coverage you need from your policy. To determine this, you may want to utilize calculators online or talk with a financial advisor who can help you decide what the right amount is for you and your family.
Explore your top long-term care insurance options and compare the costs now.
When should you purchase long-term care insurance?
Many people wait to purchase a long-term care insurance policy until they get older. But waiting too long can have a big impact on the cost of your long-term care insurance.
According to Wilson Coffman, president of Coffman Retirement Group, says the best time to buy this type of insurance is when you hit middle age.
“The best time to purchase long-term care insurance is early in your adult life, between the ages of 45 and 55,” Coffman says.
And not everyone needs to purchase a policy, Coffman says. For example, high earners who have the assets available to pay for the cost of long-term care may not need this type of coverage.
Both Coffman and Landry also note that if you’re going to purchase this type of policy, it’s important to read your contracts carefully.
“One important factor to consider when purchasing a long-term care policy is whether or not payments from the contract, when needed, are reimbursement or indemnity based,” Landry says. “Indemnity [means] that receipts for care do not need to be submitted. Rather, the insurance company pays a specified amount each month to the policy owner, once they have qualified to receive policy benefits.”
The bottom line
Ultimately, the maximum amount you should spend on a long-term care insurance policy depends on a wide range of factors, so the answer to this question will vary based on your unique circumstances and who you ask. For many, it doesn’t make sense to spend more than 5% to 6% of your annual income on a long-term care insurance policy, but in some cases, you may need to spend a bit more to get the right coverage amount — and in some cases, you may not need coverage at all. So, as you weigh your options, be sure to take all of the factors into account to determine how much you should spend and how much coverage you need to ensure that you and your finances are protected.
Former President Donald Trump meandered Saturday through a list of grievances against Vice President Kamala Harris and other issues during an event intended to link his Democratic opponent to illegal border crossings.
A day after Harris discussed immigration at the U.S.-Mexico border, Trump spoke to a crowd in Prairie du Chien, Wisconsin, about immigration. He blamed Harris for migrants committing crimes after entering the U.S. illegally, alleging she was responsible for “erasing our border.”
“I will liberate Wisconsin from the mass migrant invasion,” he said. “We’re going to liberate the country.”
The Republican nominee also intensified his personal attacks against Harris, insulting her as “mentally impaired” and a “disaster.”
“Joe Biden became mentally impaired,” Trump said. “Kamala was born that way. She was born that way. And if you think about it, only a mentally disabled person could have allowed this to happen to our country. Anybody would know this.”
The personal attacks have been something of a trend for Trump since Harris entered the race. In July, Trump falsely questioned Harris’ racial identity during a panel with the National Association of Black Journalists.
“I didn’t know she was Black until a number of years ago when she happened to turn Black and now she wants to be known as Black,” Trump said at the time. “So I don’t know, is she Indian, or is she Black?”
When asked in an interview with CBS News last month if he believes the personal attacks will hurt him with voters, he responded, “No, I don’t think so.”
Trump, meanwhile, hopes frustration over illegal immigration will translate to votes in Wisconsin and other crucial swing states. The Republican nominee has denounced people who cross the U.S.-Mexico border as “poisoning the blood of the country” and vowed to stage the largest deportation operation in American history if elected. And polls show Americans believe Trump would do a better job than Harris on handling immigration.
Trump shifted from topic to topic so quickly that it was hard to keep track of what he meant at times. He talked about the two assassination attempts against him and blamed the U.S. Secret Service for not being able to hold a large outdoor rally instead of an event in a smaller indoor space. But he also offered asides about climate change, Harris’ father, how his beach body was better than President Biden’s, and a fly that was buzzing near him.
“I wonder where the fly came from,” he said. “Two years ago, I wouldn’t have had a fly up here. You’re changing rapidly. But we can’t take it any longer. We can’t take it any longer.”
Trump repeatedly brought up Harris’ Friday event in Douglas, Arizona, where she announced a push to further restrict asylum claims beyond Biden’s executive order announced earlier this year. Harris denounced Trump’s handling of the border while president and his opposing a bipartisan border package earlier this year, saying Trump “prefers to run on a problem instead of fixing a problem.”
“I had to sit there and listen” to Harris last night Trump said, eliciting cheers. “And who puts it on? Fox News. They should not be allowed to put it on. It’s all lies. Everything she says is lies.”
Trump professed not to understand what Harris meant when she said he was responsible for taking children from their parents. Under his administration, border agents separated children from their parents at the U.S.-Mexico border in a policy that was condemned globally as inhumane and one that Trump himself ended under pressure from his own party.
Harris, at a rally in San Francisco, told supporters there were “two very different visions for our nation” and voters see it “every day on the campaign trail.”
“Donald Trump is the same old tired show,” she said. “The same tired playbook we have heard for years.”
She said Trump was “a very unserious man.”
“However the consequences of putting him back in the White House are extremely serious,” she said.
The Harris campaign Saturday again challenged Trump to a second debate, this time in the form of a football-themed television ad. Following his Wisconsin rally, Trump traveled to Tuscaloosa, Alabama, to attend the Alabama-Georgia football game Saturday evening, and the Harris campaign premiered the ad during the game.
“Champions know its anytime, anyplace, but losers, they whine and waffle,” the ad’s narrator said.
Kendy Howard was found dead in her bathtub. While dispatched as a suicide, clues at the scene made Kootenai County authorities suspicious. Here’s a look at the case:
A 26-year marriage
Brian Wilkins
Dan and Kendy Howard had been married since 1994. By 2021, Dan Howard had gone from working as an Idaho State Trooper to working in the Alaskan oil fields for three weeks at a time.
Kendy seeks divorce
Brian Wilkins
On Jan. 28, 2021, just five days before she died, Kendy Howard picked Dan Howard up from the airport and told him she wanted a divorce. She described Dan’s reaction to a friend as having been “not good.”
Dan Howard’s call to 911
Kootenai County Prosecuting Attorney
On the night of Feb. 2, 2021, at 10:43 p.m., Dan Howard called 911, screaming Kendy had shot herself. “She’s in the bathtub dead …”
The call was dispatched as a suicide.
Dan Howard at the scene
Kootenai County District Court
Kootenai County Sheriff’s Deputy Miranda Thomas was one of the first officers to arrive. Thomas said she witnessed Dan Howard screaming, crying and gagging.
Kendy Howard found in the bathtub
Kootenai County Sheriff’s Office
Caption: Kendy Howard was found dead, naked in the bathtub of her home, with a gunshot wound to her head. Kendy’s gun was submerged in the bathwater.
A packed duffle bag
Kootenai County Sheriff’s Office
Thomas noticed a duffle bag with what she said seemed to be women’s clothing packed inside.
A clue on the dryer
Kootenai County District Court
Kootenai County Sheriff’s Detective Jerry Northrup said that in the dryer he observed “bathmats and towels … and they were still somewhat warm,” which he said led him to question when the cycle had been started.
How did Kendy Howard really die?
Kootenai County Sheriff’s Office
Kendy Howard’s gun was found in the bathtub. Investigators said they would have expected to see a lot more blood in the bathtub if she had been alive when she was shot.
Kendy’s daughter accuses Dan Howard
CBS News
When Dan Howard called his stepdaughter Brooke Wilkins with the news of Kendy’s death, investigators said they could overhear Wi accuse Dan of killing her mother. Despite their suspicions, detectives said there was not enough evidence at the scene to arrest Dan.
Dan Howard arrested
Kootenai County Sheriff’s Office
It took two years for prosecutors to build their case. In July, 2023, Dan Howard was arrested and charged with Kendy Howard’s murder.
Dan Howard on trial
Pool
On March 4, 2024, the trial of Dan Howard began. The prosecution claimed Dan had killed Kendy by putting her in a carotid restraint hold – a maneuver he had learned in his law enforcement training. The defense maintained that Kendy’s death was a suicide. After 10 days of testimony, 62 witnesses, and just over eight hours of deliberations, a verdict was reached.
Dan Howard found guilty
On March 19, 2024, the jury found Dan Howard guilty of second-degree murder and domestic battery.
Life in prison
Pool
At Dan Howard’s sentencing hearing in May 2024, Judge Lamont Berecz told him, “You killed a mother. You killed a grandmother. You killed a sister … You snuffed that out because of your own pride, greed, and anger.” Dan Howard was sentenced to life in prison without the possibility of parole.
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