What You Need to Know About Long-Term Care

What You Need To Know About Long-Term Care:

WHY YOU NEED A LIFE PLAN (AND THE RISK OF NOT HAVING ONE)

Planning is bringing the future into the present so that you can do something about it now.

– ALAN LAKIN

Are You Prepared?

If you’re reading this brochure, you’ve already begun to think about the next chapter of your life. As you embark on that journey, critical decisions lie ahead, so gathering information is vital … and frank discussions are necessary.

It’s sobering to think about … but if you knew for certain how many years lie ahead of you, would it alter your priorities? Would it make a difference in how you lived? What would you do to prepare for the challenges that will inevitably come? And how would you secure the highest-possible quality of life moving forward?

Have you thought about it? Do you have a plan? Not just a financial plan … but a practical, logistical plan. A plan for what happens “if.” Most people don’t – despite the fact that throughout their lives, they have carefully planned for their careers, their children’s education, and their own pre-retirement. Preparing for life’s later years, including future healthcare needs, is no less important.

As life spans increase, so do the chances that you will need long-term skilled nursing care or ongoing help with daily tasks. That’s why it’s important that you understand the options, so you can make the best decision for yourself and your loved ones. You may not want to think about needing long-term care … but the truth is: You can’t afford not to.

At The Glenridge, we want you to be armed with the facts as you plan for the future.

What You Need To Know About Long-Term Care is a good place to start.

We’re in the Midst of a “Category 5” Demographic Shift

No matter how many times you’ve heard it before, the numbers are staggering:

• In the U.S., there are now approximately 71 million Baby Boomers (those born between 1946 and 1964) – and they’re all aging at the same time.

• By 2030, all Boomers will have reached at least age 65, meaning that about 21% of the population will be over that age – that’s up from 15% in 2018.

• According to the National Council on Aging, adults over 65 are one of the fastest-growing groups in the nation, expected to reach 80.8 million in 2040.

• On average, a U.S. adult who reaches age 65 can expect to live for nearly 20 more years.

• As the population of seniors grows, there will be fewer working-age adults to support older Americans on Social Security and Medicare.

We’re in the midst of the greatest demographic shift in history – and the full impact is yet to be felt. But we know this: It will put an enormous strain on healthcare and longterm care systems – escalating costs and creating a shortage of care providers.

THE GATHERING STORM

At the same time, other economic and social forces are converging:

• By 2027, the annual U.S. national health expenditure is likely to be $590 billion higher compared with pre-pandemic predictions, according to management consulting firm McKinsey & Company.

• McKinsey also found that the healthcare industry faces “a gathering storm” due to labor shortages, inflation, and endemic COVID-19.

• The Centers for Medicare and Medicaid Services (CMS) says the annual growth in national health spending is expected to reach nearly $6.8 trillion by 2030.

• The United States is projected to have a shortage of more than 200,000 registered nurses and more than 50,000 physicians in just the next three years.

• Healthcare cost inflation in general – coupled with the predicted shortage of healthcare workers – will continue to drive up the cost of long-term care and assisted living for the foreseeable future.

• AARP finds that 7 out of 10 adults over 65 will need long-term care sometime during their lives, and 1 in 5 of them will need care for more than 5 years.

• Yet, the U.S. has at least 600 fewer nursing homes than it did 6 years ago, a recent article in the Wall Street Journal reports.

70% of adults over 65 will need long-term care

– AARP

Let’s process that for a moment: As Baby Boomers age, more and more people will be competing for limited long-term care resources – and the cost of those resources will continue to rise. Add that to the predicted shortage of quality assisted living and skilled nursing beds, and you have a looming “Category 5.”

71 MILLION baby boomers in 2023

UNINFORMED AND UNPREPARED

Given the preponderance of data heralding an impending crisis in long-term care, you might assume that people looking to the future would be planning accordingly. If so, you’d be wrong.

According to an AARP survey:

• 75% of Baby Boomers have not factored healthcare costs into their retirement savings goals, and 85% haven’t included longterm care costs.

• Even for Boomers who consult with a financial advisor, only 52% of them account for healthcare costs, and just 36% include longterm care in their planning.

The Center for Retirement Research at Boston College also found that Americans of all levels of wealth underestimate how many years they’ll live and, by extension, the care they’ll need. Over a third can’t guess how much it would cost to stay in a nursing home or hire a home health aide, while more than half think Medicare will pay for it.

These facts suggest that many older Americans will have a rude awakening when they actually need skilled care – and if they do, their options could be severely limited.

Proactive Planning

As retired CPAs, Al and Phyllis Wilhelm have always understood the importance of financial preparedness — and the experience of caring for their own older parents taught them the value of being proactive about healthcare, too.

“When we were navigating my mother’s healthcare needs, we learned that it can be dangerous to wait too long — because if you delay the decision until something happens, you’re at the mercy of what’s available,” says Phyllis.

“At The Glenridge, we know that everything is here. Whether we need long-term care, physical therapy or mental health support, it’s a seamless transition to the next level of care.”

“A wave of Americans has been reaching retirement age largely unprepared for the extraordinary costs of specialized care. These aging baby boomers … pose an unprecedented challenge to the U.S. economy as individual families shoulder an increasingly ruinous financial burden …”

But the biggest lesson of all, says Al, is not to delay. “I don’t think you can make the move too early. When you live at The Glenridge, you’re still active, you’re surrounded by friends, you’re part of a larger community — and if you ever need additional care, it’s here.”

Knowledge Is Power. Are You Informed?

What do you do when you know a storm is coming? You anticipate it. You gather information. You make a plan. And you prepare in advance.

When it comes to your future healthcare, the process should be no different – and the more you know, the better equipped you’ll be to make wise, strategic decisions.

Do You Know … What You Don’t Know?

Few Americans plan for the eventuality of long-term care in their retirement, don’t understand their choices, and underestimate its cost.

– AARP 2022

WHAT ABOUT MEDICARE?

From costs … to availability … to what Medicare does (and does not) cover, most Americans really don’t understand long-term care. In fact, a recent Medicare Literacy survey released by Medicare Advantage found that 3 out of 4 beneficiaries found the program “confusing and difficult to understand” – and that a high percentage were unaware that Medicare covers certain services, or they incorrectly believed it covers others.

How about you?

Did You Know?

• For Americans 65 and older, the odds of needing longterm care are 70%. Compare that to the odds of: getting in a car accident (0.4%); a house fire (0.08%); or being robbed (0.09%).

• While many assume government programs cover longterm care, the reality is that they don’t. Medicare does not pay for extended stays in skilled nursing facilities; it covers only short-term stays following hospitalization and limited home care.

• Medicare pays nothing – that’s right, nothing – for assisted living. Neither do Medicare or Medigap supplements.

So, if you do need these services, it will cost you. The average daily rate in 2023 for a private room in The Glenridge’s skilled nursing facility is $500 or $182,500 annually. For assisted living, it’s $101,000 annually, and for memory support, about $132,000 annually.

And Do You Have a Plan?

WHAT ABOUT AGING AT HOME?

A recent AARP study found that three-quarters of Americans age 50 and older wanted to stay in their own homes as they aged. But doing that isn’t always realistic or cost-effective. Living at home may still require an expensive array of services, such as kitchen or bathroom modifications, mobility assistive devices, and other transportation. In addition, aging at home does not preclude the need for long-term care … and that can be expensive, averaging $18,250 a month at a rate of $25 per hour – $219,000 annually.

Another factor to consider: Those who choose to live at home can become very isolated, causing loneliness and depression. And it’s especially difficult for one spouse if the other has become ill.

WHAT ABOUT LONG-TERM CARE INSURANCE?

Of those who do stay in their own homes, many take out long-term care insurance policies to protect against the cost of catastrophic illnesses. But there are downsides: Premiums can increase; the structure of the policy could change; and your coverage may not be sufficient to keep up with escalating healthcare costs. If you do need a higher level of care that necessitates moving to a skilled nursing facility, you have no assurance that one will be available nearby –or that it will provide the quality of care you’re seeking.

Chart Your Own Course

A lifelong entrepreneur and business owner, Manny Joaquim has always charted his own course through life. “It’s about independence — the freedom to make my own decisions about where I want to go and what I want to do,” he says.

That proactive outlook guided Manny’s approach to the next stage of his life. “As I got older, I knew there was a chance something might happen to my health,” he recalls. “One fall or one accident could change everything — and I might not have a choice of where I wanted to go, so I needed to be ready.”

Manny began researching communities that provided all levels of care and found his answer at The Glenridge. “The healthcare here is really top-notch: rated five stars, with all the options I need,” he says. “But all of it — the amenities, the campus, the people — is second to none. You just can’t match the quality of The Glenridge.”

The Solution: Make a Life Plan and Activate It

An aging population. Rising healthcare costs. Fewer long-term care facilities. Given what we now know about what’s on the horizon, the wisdom of having a Life Plan should not be in dispute. The question is: How, when, and where will you put that plan into place?

If you’re looking to optimize the quality of the rest of your years – in a place where you can truly flourish – a Life Fulfilling Community like The Glenridge, unlike any other option, is the solution. Here, you’ll find a built-in support system that provides everything you need to live at the highest level possible – so that you can adapt to change as it comes and stay in control no matter what.

Award-Winning Healthcare

The Glenridge on Palmer Ranch has long been known for excellence in long-term care and has the accolades to prove it:

TOP 10% NATIONALLY for skilled nursing

TOP 1% IN THE STATE for skilled nursing

TOP RANKINGS for both long-term care and short-term rehab

Specifically, The Glenridge was:

• Named Best Nursing Home 2022 by the Sarasota Herald-Tribune

• Recognized as one of the nation’s Best Nursing Homes by U.S. News & World Report 2022–2023

COMPREHENSIVE SERVICES PROVIDE EXCEPTIONAL VALUE

Because The Glenridge offers a comprehensive package of services and amenities, the value it provides is exceptional. In addition to guaranteed long-term care, membership includes a variety of housing options, multiple dining venues with restaurant-style service and cuisine, an expansive arts and fitness complex, exceptional programming and entertainment options – plus transportation, housekeeping, complete maintenance, 24-hour urgent response, and more.

Community membership also replaces housing expenses (like mortgage, rent, condo fees, assessments, and all home repair and maintenance) – and, for apartment residences, includes a generous monthly dining allowance. Plus, you’ll never have to write another check for water, sewer, garbage removal, cable television, housekeeping services, lawn and pool maintenance, or security systems and monitoring. The monthly fee for apartment residences also includes gas and electricity.

And that’s before factoring in long-term care savings!

AN ENLIGHTENED APPROACH

Perhaps most important from a life planning perspective: Your entrance fee and monthly fees also include access to on-site assisted living, memory support, rehabilitation, and skilled nursing, if needed.

While The Glenridge places an extraordinary emphasis on preventive health and holistic wellness, members have peace of mind knowing that top-quality long-term care is accessible anytime they need it (and under most residency contracts at a substantial reduction in cost) . . . for as long as they reside in the community.

As a Life Fulfilling Community, The Glenridge takes an enlightened approach to long-term care – departing from the traditional institutional model to create an environment based on respect, dignity and personal autonomy. All accommodations are private –with main areas designed as homelike “neighborhoods” that are pet- and plant-friendly.

Here, you and/or your spouse will get award-winning care – in a positive, dignified environment located right in the community.

in a Life Fulfilling Community®

LIVE BETTER LONGER – HERE’S WHY

Because The Glenridge offers opportunities for intellectually stimulating and vibrant social interaction, there’s an added layer of less obvious, but equally important, benefits.

For older adults, staying active and participating in meaningful activities can actually increase longevity. According to researchers at Northwestern University’s medical school, many of the health changes associated with aging can be attributed to sedentary lifestyles and social disengagement. Simply put, those with strong social connections tend to be happier and healthier. Other research cites similar findings:

• According to the Centers for Disease Control, lack of social engagement over the long term can cause significant harm to physical, intellectual and emotional health – and may pose as serious a mortality risk as smoking or obesity.

• A study in the Annals of Internal Medicine noted that having no social ties was an independent risk factor for cognitive decline in older persons. The study suggested that maintaining social connections and participating in social activities stimulated the mind by challenging people to communicate.

• Mather Institute’s five-year longitudinal Age Well study (2019), which surveyed more than 5,000 residents from 80 senior living communities across the nation, found that living in a community like The Glenridge is associated with greater emotional and social wellness overall. Respondents reported improved social well-being, a greater sense of purpose, healthier behaviors, and more optimism.

One Step Ahead

A former home organizer, Julie Stewart knows how important it is to have your life in order. But it wasn’t until a few years ago, when her partner passed away, that she realized the urgency of having a plan for her healthcare, too.

“After a certain point, I realized: You cannot wait until you need help — because if you do, you might not be able to access it,” she says. “For me, learning that was almost like a gift. I asked myself, ‘What’s stopping me from getting on the wait list right now?’”

As a Glenridge member, Julie can rest assured knowing she’s made the best choice for herself and her family. “I didn’t want to burden anyone with having to make decisions for me; I wanted to manage the process,” she says. “Now, even if my health changes, I’ll never have to ‘go elsewhere’ to get more or better care. It’s all here, and it’s exceptional.”

A Financial Investment in Future Security: A Smart Business Decision

A WISE STRATEGY

Even knowing that the cost of long-term care can be financially devastating if you haven’t planned wisely, many individuals still fail to factor long-term care into their financial planning equation. And therein lies the problem: If you want to control where and how you’re going to live (if you ever do need long-term care), you have to consider some type of protection.

Fortunately, there are ways to protect your assets, safeguard your estate, and build a more secure future. And, yes, The Glenridge can help you with that, too.

GUARANTEED ACCESS TO LONG-TERM CARE

The Glenridge offers guaranteed access to long-term healthcare (skilled nursing, assisted living and/or memory support) – a plan that helps protect your financial assets and the remainder of your income in the event of future need for long-term care services. With this protection, the cost of future long-term care is pre-funded – which means you are purchasing tomorrow’s longterm healthcare with today’s dollars – a hedge against rising healthcare costs.

The benefit of such care, if ever needed, is built right into Glenridge membership at a

cost that is significantly less than the cost of obtaining comparable services outside the community. And because all long-term care services are conveniently located within the community, you can remain close to your spouse and your friends.

No private healthcare provider can give you this same assurance. And no long-term care insurance policy can provide the support system of neighbors, staff and caregivers that you’ll find at The Glenridge.

ASSET PROTECTION

The Glenridge also offers flexible entrance fee options, which ensure that you can leave a legacy to your family while still enjoying a maintenancefree lifestyle dedicated to personal growth and enrichment. Coupled with the savings provided through the life-care residency contracts, you’ll have a secure plan for protecting and preserving your assets.

TAX ADVANTAGES

At The Glenridge, a portion of your entrance fee and monthly service fees is considered prepaid medical expenses and qualifies as a deduction for federal income tax purposes. Although you’ll need to confer with your accountant or tax advisor, these deductions are bottom-line advantages that factor into overall savings.

Remember:

At The Glenridge, your entrance fee and monthly service fees cover the future availability of private healthcare services for as long as you need them

As one Glenridge member put it: “Advances in medical care mean that most of us are going to live longer. The only wild card is how long. That begs the question: ‘Will your assets survive caring for you?’ From my perspective, the obvious choice was moving to a community that guarantees high-quality long-term care, should I ever need it. And it was one of the best decisions I ever made!”

This Is Your Choice

As you look ahead to the next chapter of your life, it’s important to make your own decision about what’s best for you. This is your choice. No one else can – or should –make it for you. So, ask yourself not just where you want to live … but how you want to live.

At The Glenridge, we want you to live well. We want you to flourish. And we want you to enjoy the best years of your life – for the rest of your life. To help you do that, we provide a complete support system with all the tools you need to navigate the emotional roller coaster of aging.

Making the decision to move to a Life Fulfilling Community® is a complicated one, but it can also be one of the best … because coming to terms with where you are in life – and really accepting it – can be liberating.

As you consider the information in this brochure, think carefully about what The Glenridge can do for you: how it can provide a safety net for your future … how it can help you live well … and why the bottom-line benefits and exceptional value make it a very smart move.

After you weigh all the options, we are confident that you’ll agree: This is the best next step you can take to plan for your health and well-being for years to come.*

*Services provided to members are governed by contracts entered into between the member and the community and vary based on the type of Residency Agreement you choose. Please contact your Life Plan Consultant for more information.