Charlie & Carol Cash:  

RMDs & Long-Term Care Planning


Far too many American families avoid discussing important issues regarding their aging parents, especially when the discussion has financial implications.  However, proactive planning across generations, can often lead to wise long-term decisions.  In this case study, we make the following planning assumptions:

  • The couple, both 73 years old, are quite active & healthy. 
  • Both receive a pension and Social Security that meets their income needs.
  • They are concerned about becoming a burden on the children/grandchildren.
  • They would “pay for care” with untapped $600,000 in retirement accounts, and Carol also sees those accounts as "legacy assets" to be passed on to their children/grandchildren.
  • The couple must begin taking Required Minimum Distributions (RMD) this year.
  • Their CPA indicates total RMDs for the couple exceed $24,000 this year.
  • They complete HALO Assessments that project the couple has an 8-year, $7,500 per month combined need for care, likely well into their nineties.


If Charlie and Carol were your clients, which LTC Planning

solution would you advise to maximize their RMDs and

address their comprehensive planning goals? 


And....Does your current LTC wholesaling resource provide a presentation tool like this?


Age 72 may not be the optimum age to set up a Long-Term Care Plan, but funding the plan with qualified funds can provide substantial benefits and minimize the impact of age affecting the plan.



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