As our leaders in Washington look for ways to address the growing deficit, two major expenses consistently come under scrutiny: Medicare and Medicaid (Medi-Cal in California). These discussions are often politically charged, but the underlying issue is simple: the math doesn’t work.
Since 2011, 10,000 Baby Boomers have turned 65 every day—and soon they’ll begin turning 75 at the same rate. At age 65, Medicare becomes the primary health insurance for most Americans. But Medicare is funded by payroll taxes, and with people living longer and requiring more care, there’s not enough money going in to cover what’s going out.
The result? We should expect cuts.
Why This Matters for You
Medi-Cal provides medical coverage and long-term care for people with low income, including:
-Skilled nursing facility care
-In-home support services
-Benefits for those who have spent down their resources
I’ve helped hundreds of families legally qualify for Medi-Cal without going broke. I believe we must care for our elderly and disabled. But we also need to be realistic:
Medi-Cal may not always be there to catch you if you fall.
With an aging population and shrinking funding, it’s risky to assume the government will cover your care if you run out of money.
What You Can Do
I don’t have a crystal ball—and neither does anyone else. But I do know how to create a plan that protects your assets and gives you options for long-term care, regardless of what the government does.
If you want to be prepared and avoid the risk of running out of money when you need care most, give me a call.
