Retirement Guide
Planning for retirement comes with a lot of questions. Start asking the right ones with the help of this free retirement guide.
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Your Financial Plan
Nearly 70% of people over age 65 will experience a life altering health event requiring some kind of long-term care.
There are four common options to cover costs and care:
- No plan
- Continuing Care Retirement Community
- Long-term care insurance
- Friend Life Care Membership
Download “A Confident Retirement” and look for the “Your Options for Future Care” chart for a comparison of these options.
Your Financial Plan
Have you been putting money aside to cover long-term care costs? Do you know if you have saved enough? Self-paying for care means that you will pay out of your pocket from your savings. Transferring risk to Friends Life Care membership means that you pay an annual fee and gain access to a pool of money based on the plan options you choose. The entire pool of money is available to you to use to cover long-term care as soon as you become a member.
Consider your finances and the retirement goals you have; then decide how much you want to self-pay and how much risk you want to transfer. A plan counselor is just a phone call away. They can take you through your options and the prices for each.
Membership Cost
The average cost of membership is $2,500 a year.
Your cost may be as little as $500 a year. You may pay $8,000 a year or more. The actual amount you will pay depends on the plan you choose as well as your age, health and other factors. If you and a spouse/partner join together, you may receive a discount. A plan counselor is available to provide you pricing for the plan you prefer. Call 800-496-1985 today.
All plans include the same care coordination benefit. Different plans provide you with different amounts of money to pay for care. Calculate the financial benefit, pool of money, which fits your situation with the Benefits Calculator.
Membership vs. Personal Savings
Some people tell us they’d rather pay into a personal savings account each year instead of paying the annual membership fee. The chart below shows why this may not be the best plan for you. The chart shows three scenarios for three different ages: 60, 70 and 80.
How to Read the Chart
Membership: You join Friends Life Care when you are age 60. Your annual fee is $2,088 for a 3-year, $100 a day plan with a 30 Day Private Pay Option. This is a common plan that is selected. You have access to $109,500 ($100 x 1,095 days) for care coverage from day one.
OR
Personal Savings: You start saving at age 60. You invest $2,088 annually into your savings account with 3% interest. After 5 years, you have access to $11,085. After 25 years, you have access to just $76,127. And you have to figure out how to find and coordinate your own care.
The Difference: Even after 25 years, membership provides over $30,000 more in financial benefit. You also have a dedicated care coordinator which makes membership “priceless”.
Transfer risk to Friends Life Care
With membership, you are able to transfer financial risk to Friends Life Care. By paying an annual membership fee, you gain access to a pool of money to pay for long-term care as soon as you need it. This pool of money is more than you could have if you deposited the same annual amount in a standard savings account.
