Long-term Insurance
Mogan said long-term care insurance is another must-have for people in their 50s. She noted that everyone has a different financial strength, but whether you get a long-term policy that pays out $10,000 a month or one that pays out $2,000 a month, the important thing is that “by getting some protection for yourself, you at least know that you have some money going towards extended care, should you need it,” she said.
Mogan said that the earlier you address long-term care needs, the lower the premium. She said it becomes harder to get if you wait until you are around 70, and the premium will be much higher. “Somewhere in their mid-50s is when we really want them to get it,” she said.
“You want to be young and healthy. Not that people end up being cognitively declining in their 60s, but we never know what’s going to happen,” she added.
Housing
Another key area single people need to be thinking about as they age is housing, Mogan said. The question for those who own their home, she said, is, “Do they want to age in place, or do they want to explore assisted living where there are a lot of beautiful communities?”
“Some people will say, ‘I don’t ever want to leave my home,’” and maybe they are fortunate that they have the financial wherewithal to have people come into their home and assist them with the things they can no longer do, she said. But Mogan said there are others who also have the financial wherewithal, but they would prefer to go to an assisted living community so as not be isolated. “They get to play bridge and they get to go to the mall or the theater,” she said.
Mogan gave an example of a client who recently turned 99 and moved into assisted living. “She went kicking and screaming and now I can’t call her between 11 and 8 because she is too busy with her activities. She is running the place,” Mogan said.
Where you choose to live in your senior years partly depends on your financial situation, but it also has to do with who you are as a person and how you want to live your life, Mogan said.
“It’s really being thoughtful when you are a little younger,” she said. “I don’t think anyone knows until they get to be where they need to do something, but it’s really advisable to explore all the different places that you have prior to having to make that decision."