Why Do I Need a Northern California Durable Power of Attorney

Why Do I Need a Northern California Durable Power of Attorney? www.norcalplanners.com 1

WHY DO I NEED A NORTHERN CALIFORNIA

DURABLE POWER OF ATTORNEY?

“Everyone should have an incapacity plan in place. If you are ready to take action, contact an estate planning attorney in

your area to set up an appointment.”

TIMOTHY P. MURPHY NORTHERN CALIFORNIA CENTER FOR ESTATE PLANNING AND ELDER LAW

http://www.norcalplanners.com/


As you are going through life, your elder years can seem very distant. However,

if you ask anyone who has gotten older, they will tell you that time flies, and you

can come to a rather rude awakening at some point.

Every responsible adult should take this reality seriously. If you create a long-

term plan for aging, you can prepare yourself for the eventualities that you may

face as a senior citizen.

You may recognize the wisdom in this, but you may not know where to begin.

This is understandable, and if you feel this way, you may want to discuss the

future with an elder law attorney.


Elder law attorneys are legal professionals who focus their practice on assisting

senior citizens with the legal problems they face. When you consult with an elder

law attorney, you can create an intelligent and informed plan that leads to a

comfortable and secure future.

In this paper we will look at some questions that you may want to ask an elder

law attorney, and we will provide some very basic answers.

IS THERE ANY PARTICULAR ELDER LAW ISSUE THAT I

SHOULD BE CONCERNED ABOUT?

There are a number of legal issues that concern the elderly, but long-term care

expenses is at the top of

the list. If you work

throughout your life you

will qualify for Medicare

when you reach the age of

65 under currently existing

laws. This is a government

health insurance program

for senior citizens.

This program does not pay for custodial long-term care. Since this care is very

expensive, the gap in coverage is considerable.


HOW EXPENSIVE IS LONG-TERM CARE?

We practice law in the Sacramento are. According to Genworth Financial, in

2015, the median annual cost for a private room in a nursing home in our area is

about $150,000. The median cost for a semi private room is just around

$100,000.

HOW LONG IS THE AVERAGE LENGTH OF STAY?

A government survey was conducted a while back, and it found that the average

length of stay was two years and three months. Of course, some people stay

longer. In fact, 10 percent of nursing home residents remain in the facilities for

at least five years.


DO MOST PEOPLE REQUIRE LONG-TERM CARE AS SENIORS?

The answer to this question is yes. According to the government website

LongTermCare.gov, seventy percent of individuals who are turning 65 will

eventually need living assistance.

DOES THIS MEAN THAT I MAY SPEND EVERYTHING I SAVED

ON NURSING HOME CARE?

If you were to pay out-of-pocket, the answer may be yes depending on your

resources. However, there is a solution that many people embrace.


Medi-Cal is a government program that does pay for long-term care. However, it

is a need-based program. It is only available to financially needy individuals. The

parameters include a $2000 limit on countable assets for individuals.

Elder law attorneys help people who want to qualify for Medi-Cal without losing a

lot in the process. If you take the right steps in advance, your spouse can be

provided for if he or she is still capable of independent living. Plus, you may be

able to distribute assets to family members along the way.

This takes careful and informed planning, because you have to complete your

gift giving at least 30 months before you apply for Medi-Cal if you want to obtain

timely coverage.


SUMMARY

We have looked at a few questions that revolve around long-term care costs in

this paper. As you can see, these expenses loom large for seniors.

Elder law attorneys provide

solutions, and resources can be

preserved if a well-constructed

plan is executed in the optimal

manner. The ideal course of

action will vary depending on the

circumstances, and this is why

personalized attention is key.

We have focused on long-term

care here because it is such an

important issue, there are other

elder law matters to address.

If you would like to discuss your

concerns with a licensed

professional, make an

appointment with an experienced and qualified elder law attorney. You can reach

out to an attorney near you if you are ready to take action.


REFERENCES United States Department of Health and Human Services

www.longtermcare.gov

Genworth Financial https://www.genworth.com/corporate/about-genworth/industry-expertise/cost-

of-care.html

Social Security Administration

http://www.ssa.gov/retire2/credits1.htm

http://www.longtermcare.gov/

https://www.genworth.com/corporate/about-genworth/industry-expertise/cost-of-care.html

https://www.genworth.com/corporate/about-genworth/industry-expertise/cost-of-care.html

http://www.ssa.gov/retire2/credits1.htm


About the Author

Timothy P. Murphy

Timothy P. Murphy is an estate planning and elder law attorney

whose practice emphasizes helping people to build, preserve and pass on their wealth. He works with his clients to

accomplish their goals while avoiding unnecessary court proceedings and minimizing or eliminating exposure to death taxes. Mr. Murphy also assists families facing the myriad of

problems associated with dealing with a loved one’s declining health and rising needs for care. He has practiced law in the Sacramento area for

over 32 years, first with a large firm, and then with his own firm since 1987.

Tim has written a regular column on legal issues for Senior Magazine. He also

was a regular featured guest on the Money Experts radio program heard locally on KFBK (AM 1530). Tim has been featured in the Sacramento Bee, Sacramento

Business Journal, Sacramento Magazine, Comstock’s Magazine and other publications on estate planning and related topics. He also assisted local Channel 3 (KCRA) in an investigative report on the trust mill problem in the Sacramento

area and was featured on Channel 10 (KXTV) in its series on personal financial planning.

Northern California Center for Estate Planning and Elder Law

www.norcalplanners.com SACRAMENTO 2277 Fair Oaks Boulevard

Suite 320 Sacramento, CA 95825-5599

Phone: (916) 437-3500 ROSEVILLE

3017 Douglas Blvd. Ste. 300

Roseville, CA 95661 Phone: (916) 437-3500

http://www.norcalplanners.com/

Why Do I Need a Northern California Durable Power of Attorney

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