Americans are drastically underestimating to cost of long term care.
According to a 2016 Genworth study, the average American underestimates the cost of in-home care by nearly 50%. With in- home care as the most popular type of long term care being used by older Americans it important to realize the monthly cost averages about $3,900.
Why are we miscalculating? For most, the first time people give ‘serious’ thoughts to the costs is when they need them. With no previous experience it’s easy to come up short in the calculation. Most don’t consider how many of in-home hours of care will be required – and they can add up fast. All these factors cause a great discrepancy in our perception of the cost and the actual cost of care as we get older.
Learn more here for long term care costs.