12721880_982241478477726_228707717_nIn a recent survey, one-third of Americans said they have done no planning at all for their own long-term care needs. We would not be surprised if the number of people who have under-prepared, that is, who do not have the savings or insurance to provide for their needs, is closer to 70%.

It is very important to understand that two programs, Social Security and Medicare have no provisions for residential long-term care. In addition, the Medicaid system is under stress and even with a major tax increase the projections are that this government program will not be able to cover the needs of the retiring baby-boom generation as they age.

Personal savings and long-term care insurance are the two most viable ways to provide for long-term care, whether that care be in one’s home, the home of a relative, or in a care home. We as Americans must become more knowledgeable about the coming “silver tsunami” (large wave of retirees) and to the extent possible, be prepared.