Discussing Costs and Funding Options Transparently

Core Messages

• There is no single right answer. Mixes of self-funding — including annuities, HSAs, and Medicaid planning — are common.
• Match tools to goals. Whether you want to preserve an inheritance, minimize premiums, or maximize flexibility, each goal points to different funding mixes.
• Run scenarios with local costs. Use real numbers to see gaps and tradeoffs.

Funding Mix Examples

• Conservative (preserve assets): Hybrid life/long-term care policy + family emergency savings + HSA.
• Balanced mix: Modest traditional long-term care policy + HSA + partial self-funding.
• Budget-focused mix: Self-funding + HSA + Medicaid planning if needed.

Simple Math Templates

• Estimate your need: Daily cost × 365 × years of care.
• Coverage gap: Estimated total need minus total policy benefit.
• Premium affordability: Annual premium divided by annual retirement income (aim for a comfortable percentage).

Conversation Tools

• Funding conversation script: “If care costs $X per year, our savings cover Y years. We can buy a policy that covers Z years or use a hybrid to protect some inheritance. Which matters more to you?”
• Budget worksheet: Monthly income, fixed expenses, emergency fund, HSA balance, and target premium ceiling.