A recent survey funded by The SCAN Foundation found close to four in 10 Americans, age 40+, believe Medicare and Social Security will pay for long-term care. The need for continuing care services and support to assist with activities of daily living will increase as the population ages. The group will require help with cooking, bathing, grooming, shopping, managing medicines, and toileting. Don’t Expect Medicare to Pay for Long-Term Care
Thirty-eight percent of the people surveyed in the 2016 Long-term Care in America report said they will rely on Medicare to pay. Correspondingly, 35% will count on Social Security and personal savings while 32% expects to depend on investments for support. Don’t Expect Medicare to Pay for Long-Term Care
Surprisingly, only two out of 10 older adults will use Medicaid to pay for their aging needs although it ranks as the largest public payer fo LTC, according to the Kaiser Commission.
The misperceptions of long-term care payment options persist among Americans, but their ability to pay increased even though many put off planning for it. How and where individuals want care remains consistent to prior years.
On the political front, Democrats and Republicans approve some proposals to help Americans prepare for the costs of long-term care. How it plays out: 80 percent of Democrats and 78 percent of Republicans favor tax breaks to boost aging care savings. Plus, over 70 percent of both parties would approve tax breaks for individuals who buy long-term care insurance.
Equally, both sides favor a portable long-term care insurance model through their employer, similar to COBRA. And Republicans (71 percent and 68 percent Democrats) would permit non-taxable funds like retirement plans and 401(k)s to pay for LTC insurance premiums.
Don’t Expect Medicare to Pay for Long-Term Care Don’t Expect Medicare to Pay for Long-Term Care Don’t Expect Medicare to Pay for Long-Term Care Don’t Expect Medicare to Pay for Long-Term Care