Planning for Your Future

Aging happens naturally, but aging well takes careful planning. Take steps to ensure that your financial, living, and medical needs will be met in old age.

By Diana Rodriguez

Medically reviewed by Pat F. Bass III, MD, MPH

Your Personal Security PlanAging is a time of transition. Many people start taking steps to eat better, get regular exercise, and manage stress to extend their healthy years. But it goes beyond that: Healthy aging should include thinking ahead to the financial, medical, and family issues that you could face in old age.

Older adults face many decisions in the last decades of their lives. Taking some time to look at the issues ahead and plan accordingly can make the future easier and more enjoyable for both you and your family. Here are some areas to consider:

• Your money. Saving for retirement is important, and you want to make sure you have enough money to live on and enjoy life in your old age. You also want to make sure that money is protected, that you can get to it if you need it, and that you have enough to take care of yourself and your family. You should also make decisions about what should happen to that money when you die by preparing a will or trust document that spells out your wishes.
• Your health care. You may need more health care in old age than you did when you were younger. It’s important to make sure that you have health insurance coverage, possibly a second plan to cover costs not met by Medicare, and that you understand the coverage and have enough money on hand to cover what your plan doesn't. Keep your health and life insurance policy information stored in a safe but accessible place.
• Your life. The onset of a health emergency – such as a heart attack, stroke, major injury, or terminal illness – is not the best time to make key decisions. Preparing advance directives like a durable power of attorney, a living will, and other documents that state your end-of-life wishes can save you and your family from unneeded stress in a time of crisis.
• Your care. It's tough to think about not being able to take care of yourself, but that point may come. Friends and family members may not be able to give you the level of care that you need when living with a debilitating illness. While you're still healthy and able, make decisions about potential living arrangements, like a nursing home or assisted living facility, hospice care, home health care, and other available care options, depending on your condition. Choose which options you prefer in various situations, and consider how you will pay for them.
• Your home. Your home may be easy for you to navigate and comfortable for you now, but think about how that may change when you get older. A big house with lots of stairs to climb may present a serious challenge if you have health or physical problems. Take stock of your living arrangements to see if safety modifications or remodeling can be done now to provide for your health at home later.

Protecting Your Partner

It's never too early to start thinking about how you're going to handle and pay for your care in old age, especially if you’re the primary breadwinner in your household. A debilitating illness such Alzheimer's disease or a serious stroke can quickly deplete your financial resources. Consider your health, and the health of your spouse, partner, or family members. Make preparations and provisions and develop a plan to deal with these issues in the event one of you becomes sick.

Although financial assistance for senior health care is available, it's best to begin planning well in advance. Programs like Medicaid have strict rules and regulations, and may not cover enough of your medical expenses for you to maintain a comfortable standard of living. Start looking at your financial options early and consult with legal and financial professionals to ensure that you and your family are cared for in your old age.

Figuring Out What You Need as You Age

When you’re ready to start planning, there are people who can assist you in making the necessary arrangements. An elder care attorney can advise you and your spouse or partner on legal issues and financial arrangements and draw up legal documents.

Also, consider having a geriatric medical assessment done. This process can give you a picture of your overall health. The earlier health problems are identified, the more input you’ll be able to have in your future care and the care of your family. Your health care team can help develop a plan to make sure your living arrangements are safe and will serve your needs in the years ahead. An assessment is an especially good idea if you are already experiencing some health problems or signs of dementia.

Although no one likes to think about getting old, putting a plan in place earlier rather than later can help you maintain the lifestyle you want to have as you enter your later years.

At Keshav Srishthi

At Keshav Srishthi

At Keshav Srishthi

Vimal maa enjoying Antakshari in meeting of VNSS

I have been running senior citizens group for last over 9 years. When my mother in law (Late) was in Mumbai she was fascinated with dhamal and masti of the group. 

Death: how to ease paperwork for survivors

Death of family member; how to ease paperwork for survivors

In an interview to CNBC-TV18, personal finance expert, Lovaii Navlakhi, International Money Matters shared his views and concerns in case paperwork of the deceased is not in order.

Like this story, share it with millions of investors on M3.Death of family member; how to ease paperwork for survivors In an interview to CNBC-TV18, personal finance expert, Lovaii Navlakhi, International Money Matters shared his views and concerns in case paperwork of the deceased is not in order.

He explains about the trouble family members have to go through if the deceaseds paper work is not in order.

Below is the edited transcript of his interview
Q: Most of us leave our paperwork pretty much in disarray, and in the unfo rtunate event of the death of a primary earning member, the survivors are left hunting for paperwork rather than dealing with their loss. How exactly can one simplify the process? Could you tell us what are financial documents that a survivor needs to locate and what is the process they actually need to follow in case such an event takes place?

A: A lot of things are required to be done before the event and that is to make sure that every account holder, every investor, whether he is the earning member or not, needs to look at his investment documentation and make sure that he has a nominee at least for each and every investment. That is the first thing to do. So that in case of death, at least the nominee gets access to the investment and then can distribute it based on the will of the deceased.
It is very important to make a list of all the bank accounts and also all the investments. Try and write down who are the joint holders, the account number, and the name of the nominee. Some of these may have online access, so you need to store the passwords in a secured place where from where your family member can access them. I would recommend that instead of informing the family, maybe a professional lawyer firm or a chartered accountancy firm, somebody whom you trust and whose entity is going to be ongoing has access to this information, so the family members know whom to contact in case of the death of the earning member. So that another important step to get going that is make a list, have these things documented and then when you realise there are gaps, start filling them up.
Q: How important is it for a person to make the will?

A: We must understand that the role of the nominee is only to act as a trusty. He will receive the funds at the time of the death, but the distribution has to be based on a will. So the will will take precedence and in case there is no will, then there is a fairly complicated process. The process includes getting a succession certificate and applying for a probate from the court and this could take maybe a year or even longer, apart from the cost. The succession certificate requires signatures of all the family members associated with the deceased and since some of them could be abroad, getting their signatures could be difficult. So, that becomes a little bit of a cumbersome process.
A will is obviously very important. In case the will is not there then the personal law of the land takes over and then you will have to follow whether the Hindu Law or the Islamic Law will apply.
Caller Q: Investors cousin died in a car accident a few weeks ago. He owes about Rs 3 lakh to a credit card company along with some phone bills etc. He was 28 and single, survived by his parents who do not have the means to repay that debt. Is there any way the company could waive the debt if they send his death certificate? What happens in the event of a credit card loan? Does it fall on parents at all or can they default?
A: The credit card company basically has the access to the estate of the deceased because the deceased had the credit card. So if his parents are going to get access to the estate or the benefits of his PF or gratuity or life insurance policies that the individual may have had then the credit card company can stake a claim on the estate essentially.
On human grounds they can certainly apply to the credit card company and arrive at some sort of settlement if the company maybe happy to do something in that manner. This again highlights one thing which we spoke about in the previous segment and I probably missed covering is life insurance. People tend to think that when they have dependents and when they get married they will look at life insurance. But parents are dependent on them or if they are going to run up some dues and the parents are then going to be left with the responsibility of paying them it is really very important to look at personal accident insurance, life insurance at a very early stage. Also make sure that the family member knows where the life insurance policy is kept because the insurance company will want the original document when you make the claim along with the death certificate. So that is very important.
I think many credit card companies also offer insurance at the time when you take the card. Most of us shun it saying it is an extra cost and why should I take the cover. So, if you do not have life insurance cover on your own at least make sure that you take the group cover that the credit card company is offering.
Q: What exactly do the settlements look like in the past if you have seen any? What if there is no estate attached to somebody say a 28 year old and does not have any formidable assets on their name, because they generally do not even get life insurance till a later age?
A: In terms of settlement basically the credit card company is going to have a situation where either they get something or they get zero because the estate does not have any funds. So, they maybe quite happy to do a settlement of the case, discussing with the dependents or the beneficiaries of the deceased. It is a case to case thing. I do not think it is a general thing that they will waive off 50 percent or some such number.
To answer the other question on what happens if there is no estate, I think in that case the credit card company really has no option but to write-off. Let us assume that there was an individual and there were no parents and no family members then really they do not have access to anything. But in case if the person was staying in a house or has some asset then they could make a claim and along with all other creditors they will fall in line.

Senior citizens being attended

Many a times some sr. citizens come over and they need some one to listen, some activity, some time pass. Here is how last Friday they visited me and I let them spend some moments: