At Purposeful Wealth Advisors, we often talk about the importance of preparation—because planning ahead isn’t just wise, it’s empowering. But today, I’m writing not just as a financial advisor, but as a daughter.
Over the two years I walked with my mom through several transitions in her long-term care journey. The emotional, financial, and logistical challenges can be layered and complex, especially when there’s no clear plan in place. That’s why I want to share what I’ve learned about long term care planning—so you don’t have to scramble when the time comes.
What Is Long-Term Care (And Why It Matters)
Long-term care refers to the help someone may need later in life with basic daily tasks, things like bathing, dressing, managing medications, or simply getting around safely. That care might come from a home health aide, a caregiver in an assisted living facility, or the trained staff of a memory care or nursing home.
But here’s what’s often missed in this conversation: freedom or independence. A good plan isn’t just about care, it’s about choice. It’s about protecting your independence, your dignity, and your lifestyle—and reducing the stress or worry on your family. And in some cases, letting your family be your family and enjoying time with you, instead of your family being your caretaker.
And why does this matter? Many of us will need some form of long-term care. According to Morningstar, about half of people turning age 65 will require some type of paid long-term care in their lifetimes for women, on average for 3.7 years of care and for men on average 2.2 years of care.
What I Learned with My Mom
When my mom’s memory began to fade and her home became too much to manage, she moved into a senior community that offered independent living, assisted living, and memory care. She started in independent living and thrived there for a while.
During that time, my brother and I were always trying to strike a balance: letting Mom remain independent where she could, while also planning ahead for when more help would be needed. We were intentional about visiting memory care communities before she actually needed to move. I can’t tell you how glad I am that we did.
One big takeaway? The place we thought she’d end up wasn’t the one we chose. On paper, we expected she’d stay in the same community she’d lived in for years. But after touring a few other options, we found a memory care residence that felt more like her—lighter, brighter, with a different approach to care that matched her personality.
It was a reminder: just because you start in one place doesn’t mean you have to stay there. Being on a waitlist somewhere gave us a sense of peace, and when the time came, we weren’t scrambling.
We also learned to be creative along the way. While Mom was still in independent living, we layered in some additional support, someone to help with medications, check on her meals, or even just sit and do a puzzle. And this additional support came from all different sources – people from agencies, nuns that worked in the community where she lived and of course our family. She had a team! It was time and effort on my part to coordinate but this team gave her the stability she needed for a little longer. She was able to delay moving into memory care and stay a bit more in the apartment she loved.
The 2025 Cost of Care: Eye-Opening Numbers
Long-term care is not only emotionally complex, it’s financially significant. Here’s what the costs look like today:
- A private room in a nursing home averages $131,583/year. Not surprising, my mom’s memory care was just under $12,000 per month.
- Assisted living, while more affordable, is still a major expense
- Home care can seem cheaper, but it adds up quickly over time
Nationally, Americans spend over $475 billion each year on long-term care—and with 10,000 Baby Boomers turning 65 every day until 2030, demand and costs are only rising.
Common Care Options to Consider
There’s no one-size-fits-all solution. Some of the most common options include:
- Home Health Aide – Stay at home with part-time help
- Assisted Living – A mix of independence and on-site support
- Memory Care – Specialized care for those with cognitive decline
- Nursing Home – 24/7 medical and personal care
- Adult Day Care – Supervised care during the day, often while loved ones work
The “right” choice will depend on your loved one’s health, preferences, and finances.
Who Pays for Long-Term Care?
This is where many families get caught off guard: Medicare doesn’t cover most long-term care. That leaves three main funding paths:
- Out-of-pocket – From savings, investments, or retirement accounts
- Long-term care insurance – Designed to help offset these costs
- Medicaid – Available only after significantly spending down your assets
We’re often asked whether long-term care insurance is “still worth it.” In many cases, yes. I’ve seen firsthand how it can ease financial strain and protect dignity. Today, many people also explore hybrid policies—which combine life insurance with long-term care benefits.
The best time to plan for long-term care? Before you need it.
Waiting even 10 years—say, from age 55 to 65—can increase the cost of long-term care insurance by 50% or more, and that’s assuming your health still qualifies you. Here are five smart steps to consider now:
- Talk with a financial advisor – Not just about affordability, but how to structure your plan around your values
- Explore your coverage options – Including both traditional and hybrid policies
- Invest in your health – Preventative care and wellness today can reduce needs tomorrow
- Have the family conversation early – Make sure your loved ones understand your wishes
A Gift You Give Your Family
When you’re the one making care decisions for a parent, the logistics are only half the battle. The emotional weight is heavy and unavoidable. That’s why having a thoughtful plan can be such a gift. Not just to you, but to your whole family.
My mom’s journey tested my patience, creativity and planning capabilities while making sure most of my time was spent enjoying her company. The lesson here is start now. Planning for long-term care isn’t easy—but it is one of the most loving and liberating things you can do. Explore your options and then talk to your family.
