Topic: J. Terrence Moynihan will be training attorneys and other probate professionals on the Proper Treatment of Assets, Tax Planning & Consequences of Probate, and successfully Closing the Probate Estate in this continuing legal education seminar. Location: San Bernardino, CA Date: 12/06/11
Topic: Maureen Lyons discusses the key components of a Strategic Plan for Safe Aging. Location: Olive Grove Retirement Resort (Riverside, CA) Date: 10/26/11
We have just received notice of the amount of the 2012 increase to the Aid & Attendance benefit. Starting in January, married Veterans can receive up to $2,019/mo. in reimbursement for unreimbursed medical expenses. Single Veterans can receive up to $1,703/mo. And Surviving Spouses may be eligible for up to $1,094/mo.
This is the first increase since 2009. Those who are currently receiving Aid & Attendance should see this increase reflected in their January payments.
If you think that someone might benefit from accessing this benefit, please give us a call. Too many people believe or have been told that “they can’t qualify” when that is just not true.
If you are interested in finding out more about planning for long-term disability and Safe Aging Now, please feel free to contact Terry Moynihan or Maureen Lyons, at (951) 781-1960.
The California Partnership for Long-Term Care, an arm of the Department of Health Care Services, recently commissioned a Long-Term Care Survey by the Field Poll. The poll discovered that more Californians than ever are aware of the potential need for long-term health care. But, the poll also reveals that fewer are taking steps to prepare for that possibility.
Only 10 percent of Californians have purchased long-term care insurance, according to the poll. The state Department of Insurance records show that sales of long-term care policies have fallen from more than 57,600 in 2000 to less than 35,900 in 2008.
Various reasons were offered as to why people had not bought policies. Three out of five said it cost too much. More than half said they had not thought about the subject. One third expect family assets and income to take care of their needs. One third expressed distrust of insurance companies. A significant number expect their families or government to take care of them.
This poll reveals a puzzling disconnect between a basic understanding of long-term care realities and taking action against the enormous cost of long-term care. Most adults underestimate the likelihood of needing help with daily living as they grow older and few are prepared to handle the potentially huge cost of that assistance – currently an average of $82,000 per year in California.
If you are interested in finding out more about planning for long-term disability and Safe Aging Now, please feel free to contact Terry Moynihan or Maureen Lyons, at (951) 781-1960.
Larry King first special since his talk show went off the air will focus on Alzheimer’s Disease. The special airs at 8pm, Sunday, May 1, 2011 on CNN. I am looking forward to the special.
Typically, I speak to my senior clients about ways they can save money on long term care. However, a recent article in the Wall Street Journal, (“Caregiver Tax Breaks” 2/13/11), addresses another important consideration – tax breaks for those who are providing the care that keeps mom or dad living at home longer. The article cites a study by the National Alliance for Caregiving & AARP that estimates that more than 43.5 million Americans look after someone age 50 or more. These caregivers spend an average of approximately $5,500 a year on care. While there is no requirement that there be a parent-child relationship between caregiver and recipients, this is certainly the most common arrangement.
So what can I share with the adult children of my clients who are looking for a bit of financial relief?
First, if you provided more than half of your parent’s financial support during the year and your parent’s gross yearly income (excluding Social Security) was less than $3,650, you be able to claim their parent as a dependent. Those meeting these and other dependency criteria may be able to reduce their taxable income by $3,650.
If you can’t claim your parent as a dependent because he or she has too much income, you may still be able to claim a dependent-care credit up to $1,050.
You might also be able to count your parent’s medical and dental expenses that you paid along with your own medical deductions if the total exceeds 7.5% of your adjusted gross income.
Finally, you may benefit from changing your filing status to head of household if you are single.
If you think you may be able to take advantage of any of these options, be sure to talk to a tax professional to get the biggest “bang” for those bucks.
This is a short portion of an interview with Dr. Timothy McBride, a professor of Social Work at Washington University. He talks about the the serious problems that our health care system will be facing in the coming decade…
