Essentials for A Self-Funding Long-Term Care Planning Strategy.....


When surveys indicate less than 20% of Americans have addressed their Long-Term Care Planning needs, the vast majority of our country's retirees do not have a PLAN.   The default, of course, is self-funding that cost, but that is not a PLAN! However, the choice of Self-Fund future LTC needs is significant, and that decision cannot be considered viable planning until various steps are taken. 


The first step is to ensure your clients understand the risk they’re accepting by quantifying and documenting their projected cost of care with a HALO Assessment



The next step when your clients are planning to self-fund their future LTC needs is having the proper legal framework in place to avoid “crisis-planning” when care is needed should they be incapacitated or incapable of making decisions.


1)  The legal documents that MUST already be executed to support a Self-Funding LTC Planning strategy include:

  • Durable Power of Attorney (DPOA)
  • Healthcare Surrogate
  • Living Will (with DNR)
  • Pre-Need Guardianship
  • Will / Trust – Dated: ______________ 
  • Asset Protection Trust
  • Final Arrangement Document
  • Other:  ________________________


2)  Who is the agent specified in your client's DPOA in the event of their incapacitation? 


3)  Has the DPOA-specified agent formally accepted the role in the event of your incapacitation?    


Finally, in the event of incapacitation, and with a legal framework, your clients' plan for Self-Funding future LTC needs requires an orderly liquidation of specific or allocated accounts to pay for their care when needed, as documented below.  



All that's left is the following acknowledgment and some signatures.....


"I/We have completed the necessary steps and elect to take responsibility for self-funding the cost of care excluded by Medicare and Health Insurance, even though this decision could adversely affect my / our financial planning.  Our advisor has recommended other options that I/we do not wish to pursue."




It's actually very simple:  The Essentials for Self-Funding Strategy for LTC Planning MUST be in place for clients, as well as those implementing insurance-based plannin. 



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