Most retirees will already be in talks with their friends, peers, family members and neighbours about what type of aged care financial advice is suitable for their needs.
When making the transition from a home to a facility, there is a degree of anxiety and apprehension about how the program can be funded and how others can be covered in case of emergency.
The best strategy in these circumstances is to engage a professional advisor from a reputable outlet, leaning on their experience and expertise in the industry and source the best package for them.
Some clients will prefer a level of flexibility and be able to diversify their assets and switch between locations.
Others will want to bank on a reliable operating model that secures their short and medium-term future without having to fear for alterations in the market.
Whatever the preference, it is worthwhile taking stock of the advice that will be valued the most, using universal approaches that get the best from both worlds.
Limit Personal Risk
To avoid encountering risks down the line with funding aged care, it is key to discuss what strategies can be used to be on top of this matter. This will outline a need to diversify assets to include the sale or rental of a home to the inclusion of a stock portfolio and investing in a superannuation scheme. When talking to a professional and receiving aged care financial advice, it is fundamental that the individual does not have all of their eggs in one basket, particularly when it comes to a fluctuating and unpredictable property market that can place recipients in grave risk. The most appropriate aged care financial advice anyone should receive has to include measures to mitigate against these risks.
Calculate Fees and Costs Early
The inclusion of a professional advisor becomes all the more prevalent when considering the daily and weekly costs that are involved with a transition to a facility. Of all the aged care financial advice that an individual can receive, it is necessary to run through the gamut of prices that have to be bundled together. This will cover:
- The bond
- Basic daily fee
- Accommodation fee
- Means-tested fee
- Extra services
Manage Tax and Pension Early
There are two key domains where the federal government and the client go hand-in-hand with various transactions. Aged care financial advice should tackle the need to be on top of any tax implications that are involved with the sale of assets or the maneuvering of income to fund the care outright. Then there is the involvement of the aged care pension, a series of transactions that will be impacted by the switch from a home setting to a facility. The longer this subject is delayed, the longer it will take to lodge applications and ensure that the details are taken care of.
Have Loved Ones Involved In The Process
No single retiree can be expected to negotiate this concern all of their own accord. It is always beneficial to have loved ones involved when receiving aged care financial advice with a professional party, allowing a partner or next of kin to prompt the consultant with key information they may have overlooked. They will not be able to directly sign off on any document or directly influence an outcome without consent, but their presence alone can offer guidance and support that a professional third party simply cannot give.
The best type of aged care financial advice that any recipient will receive is a mixture of these approaches. Retirees want security but they also don’t wish to be boxed into an environment if circumstances change out of their control. This is why professional assistance is valued far beyond the discussion phase, offering alternative and creative solutions that finds an ideal outcome for all parties.