When is the Right Time to Start Long-Term Care Planning?

Long-term care planning is a crucial step in ensuring that you or your loved ones will be able to afford the care needed in later life.

Whether it's assisted living, nursing home care, or in-home assistance, the costs can add up quickly, and without a solid plan in place, it can become a financial and emotional burden.

But when is the right time to start long-term care planning? The simple answer: sooner than you think.

1. The Sooner You Plan, the More Options You Have

Planning early means you have time to explore a wide range of options. From long-term care insurance to Medicaid planning, starting early gives you the flexibility to choose the best plan for your needs and budget.

Waiting until care is needed can severely limit your choices and make it harder to find affordable solutions.

2. Costs of Care are Rising

The cost of long-term care continues to rise every year. According to industry reports, the average cost of a private room in a nursing home is over $100,000 annually, and even home health care services can cost tens of thousands per year.

If you start planning early, you can factor these costs into your financial strategy, ensuring you won’t be blindsided by them later on.

3. Medicaid Planning Takes Time

Medicaid is often a resource people look to for long-term care, but qualifying can be complicated. There are strict asset and income limits, and many people don’t realize that Medicaid has a "look-back" period of up to five years.

That means any gifts, transfers, or asset reductions made within that time could affect eligibility. The earlier you begin planning, the better you can navigate these complexities.

4. Avoid Crisis Planning

When a health crisis strikes, it’s often too late to put a thoughtful plan in place. Decisions have to be made quickly, and financial arrangements may not be optimized.

Starting early ensures that you can make well-informed decisions without the pressure of an immediate health concern.

When Should You Start?

In Your 40s and 50s: The Prime Time for Long-Term Care Planning

This might sound early, but the best time to start planning for long-term care is during your 40s and 50s. At this stage in life, you are likely in good health, which can result in more affordable long-term care insurance premiums.

It's also a time when many people start thinking seriously about retirement and estate planning, so it’s natural to incorporate long-term care planning into these broader strategies.

Key Planning Steps in Your 40s & 50s:

• Research Long-Term Care Insurance: Policies are more affordable when purchased at a younger age.
• Build a Financial Strategy: Consider how much you might need for future care and explore options like health savings accounts (HSAs), life insurance with long-term care riders, or investment accounts.
• Review Estate Plans: Ensure that your will, power of attorney, and healthcare directives reflect your wishes for long-term care.

In Your 60s: A Critical Period for Adjustments

If you haven't started planning by your 60s, now is the time to get serious. Health issues may begin to arise, which could limit your insurance options. However, it’s not too late to take meaningful steps toward securing your future care.

Key Planning Steps in Your 60s:

• Review Insurance Policies: You may still qualify for long-term care insurance, but it will be more expensive. Alternatives like hybrid policies (life insurance with long-term care benefits) might be worth considering.

• Medicaid Pre-Planning: If you foresee the possibility of needing Medicaid for long-term care, consult with an estate or elder law attorney to make sure your assets are properly structured.



• Create a Care Plan: This is also a good time to talk with family members and loved ones about your wishes for long-term care, should the need arise.

What Happens If You Wait Too Long?

While it’s never too late to start planning, waiting until your 70s or beyond can severely limit your options. Long-term care insurance may no longer be affordable—or available at all.

Medicaid planning becomes more difficult as the look-back period could disqualify you from receiving timely assistance.

Additionally, failing to plan can put significant financial and emotional strain on your family members, who may have to make decisions about your care on your behalf.

Final Thoughts: Procrastination Can Be Costly

The right time to start long-term care planning is before you need it. Early planning ensures you have more control, better choices, and greater peace of mind. By taking action in your 40s or 50s, you can avoid the financial and emotional stress that often comes with unexpected health challenges later in life.



Whether you’re starting early or feel like you’ve already waited too long, the most important step is to get started. Connect with an estate planning or elder law attorney to begin creating a comprehensive long-term care plan today.