You Don’t Have a Plan for Your Long-Term Care Needs
There is a good chance you’ll need long-term care at some point during your retirement. The cost of long-term care varies quite a bit across the country. Median annual nursing home costs for a semi-private room in Alaska are around $292,000, while they are $54,020 in Texas, according to a 2016 Genworth survey.
Even at the low end of the scale, this cost can be financially devastating and cause you to run through retirement savings quickly.
Alternatives like long-term care insurance can help, but the premiums are often steep. If you have enough retirement savings, you might be able to self-insure. However you do it, planning for your potential long-term care needs should be a part of your retirement planning.
The best gift parents can give their adult children is to be self-sufficient in retirement. Addressing all of these issues and others can go a long way toward that end.