Fong Law Group

Emergency Planning for Seniors: Simple to Do, Critical in a Crisis

“The common advice for a crisis is to remain calm and try to think clearly. That's not always possible, but prior planning and preparation – much like with fire drills or tornado drills – can help you to stay focused and make better decisions during an emergency situation.”

What if a crisis should strike an elderly person living alone, or a senior couple who lives in their own home? No one likes to think that it will happen, but inevitably it does, says WRAL in a useful article titled “Having an emergency plan critical for safety and health of seniors.” It’s good to stay calm—and it’s even better to stay calm and quickly access the information and resources that could make the difference between life and death.

Sounds dramatic, but it’s true.

Why should you know how you’ll react in a crisis? The best way, say aging experts, is to think about the situation and the different parts in advance. Knowledge is power, and nowhere is this truer than in emergency situations.

Start by discussing health concerns with your doctor. When should you call the office, and when should you call 911? What is a normal ache or pain, and what kind of pain or sudden change signals an emergency?

If you are not sure what you or a loved one is feeling, call 911. There’s no need to hesitate because you’re not sure about whether it’s an emergency. Dispatchers are trained to identify emergencies and they can assess the situation quickly, even if you can’t.

One thing we should all have, regardless of our age, is a printed-out list of medications, diagnoses, names and phone numbers of medical providers and family contact information. This should be kept in a place where emergency responders and family members will have access to it quickly. EMS workers may not have time to review your medicine chest or a stack of bottles on the night table, but they will need to know what medications you are taking. A list—and one that you keep current—could save your life.

As a crisis unfolds, another list becomes important: documents from your estate plan. That includes your general power of attorney, health care power of attorney, and DNR (Do Not Resuscitate, if that is appropriate in your situation). The health care power of attorney will cover any health care decisions that arise, and the general power of attorney will cover financial, business and personal decisions.

Copies of these designations should be kept easily at hand at home. Make sure to tell the people you have appointed that you have done so, and what the expectations are for them.

Plans for what happens after the emergency has passed the crisis stage should be discussed, also preferably in advance. If the emergency was a fall or the senior is no longer capable of living independently, there may need to be changes made to the senior’s living situation. Rather than being forced to make a fast decision about a new living situation after an emergency, devote time to touring independent or assisted living communities to make a transition to a new home easier, than doing so in haste.

Identifying possible future living arrangements in advance also provides the opportunity to make the necessary financial arrangements. The hope is to prevent the senior from feeling like they’ve abruptly gone from the comfort and familiarity of their own home to a new and unwelcoming environment with no advance notice.

Preparing for a crisis in the short and long term may require some difficult conversations, but with the right care and planning, it may make life easier and more pleasant for the senior and the family.

Reference: WRAL (Jan. 2, 2019) “Having an emergency plan critical for safety and health of seniors”

Estate Planning Checklist 資產規劃清單 (中英對照)

“When most people hear the term “estate planning,” they think of a will. Although planning your estate does involve making a will, it also involves a few other key details.”

A will is just one of a handful of documents every adult should have in place to protect themselves while they are living, and their heirs and families after they have passed. Following are the “5 estate planning must-haves,” according to an article from the Augusta Free Press:

1. Wills and Trusts. Your will directs the distribution of your assets. Without a will, the court will determine who gets your possessions, real property and any other assets, following the laws of your state. Depending on your situation, you and your heirs may benefit from setting up trusts to protect your assets from the probate process, maintain your privacy and possibly avoid some taxes. Keep in mind that if the will or trust is not created properly or doesn’t follow your state’s laws, it could be challenged or deemed invalid. Work with an experienced estate planning attorney to protect your family.
2. Many of your accounts—bank accounts, investment accounts, retirement accounts, insurance policies—may already have a named beneficiary, who will inherit the account upon your death. However, if you have not updated those names recently, you may find the wrong person inheriting your assets. Once that occurs, there is no legal means of transferring the assets to another person. Always make sure you have a contingent beneficiary, so if the primary beneficiary dies before you, or for some reason declines to accept the asset, you will have had an opportunity to choose another person to receive the asset. If there is no contingent beneficiary, the court may make that decision.
3. Letter of Intent. It must be said that this is not a legally binding document. However, the information it could provide to your loved ones might be very helpful, as they move through the process of settling your estate. It can explain why you structured your asset distribution the way you did, why you would want a given family heirloom passed to a specific family member, or what you would like to have happen at your funeral. If you are not able to discuss these matters in a face-to-face conversation with your loved ones, this is a useful alternative.
4. Power of Attorney. Planning for incapacity is an important part of estate planning. If you become incapacitated, you’ll need to have already given someone the power to manage your financial affairs. If you do not have a power of attorney, your family will need to turn to the court system, which will create delays and added stress. You’ll also want to have a healthcare power of attorney in place. Most people assume their spouses will immediately take on this role, but not everyone is capable of making the hard decisions, especially during an emergency situation.
5. Legal Advice. Estate planning laws are governed by your state of residence. Your best option is to make an appointment with a local estate planning attorney to learn whether there are any other documents and plans you need to put into place. Some law firms provide a means of documenting assets to ensure that, at the time of death, your family is not embarking on a scavenger hunt to identify assets. In certain states, you can assign a funeral representative to make sure your funeral, burial or cremation and memorial service wishes are carried out. Your attorney will know what you and your family need.

Reference: Augusta Free Press (Nov. 27, 2018) “5 estate planning must-haves”

“大多數人聽到“資產規劃”這個詞時，他們會想到遺囑。雖然規劃你的資產確實牽涉製定遺囑，但它還涉及其他一些其他關鍵細節。”

遺囑只是每個成年人在生時保護自己以及在他們去世之後保護他們的繼承人和家人的少數文件中的其中一份。根據 Augusta Free Press的一篇文章，以下是“5 estate planning must-haves,”：

1.遺囑和信託。您將指定您的資產如何分配。如果沒有遺囑，法院將根據您所在州的法律確定誰擁有您的財產，不動產及任何其他資產。根據您的情況，您和您的繼承人可於通過建立信託以保護您的資產免受遺囑認證過程的影響，維護您的私隱並可能避免一些稅收。請記住，如果遺囑或信任未有正確建立或不符合您所在州的法律，則可能會被質疑或視為無效。與經驗豐富的資產規劃律師合作以保護您的家人。

2.受益人。在您眾多的賬戶 - 銀行賬戶，投資賬戶，退休賬戶，保險單 - 可能已經有一位指定的受益人，他將在您去世時繼承這些賬戶。但是，如果您最近沒有更新指定受益人，您可能會發現繼承您資產的人並不是您想的人。一旦發生狀況，就沒有合法的方式將資產轉讓給他人。確保您有後備受益人，如果主要受益人在您之前去世，或由於某種原因拒絕接受該資產，您將有機會選擇其他人來繼承資產。如果沒有後備受益人，法院可以作出決定。

3.意向書。必須說這不是具有法律約束的文件。但是，它可以為您的家人提供的信息可能非常有用，因為他們正在解決您的財產問題。它可以解釋您如何按照自己的方式去分配資產，為什麼您希望將特定的家傳之寶傳給某一家庭成員，或者您希望在您的葬禮如何進行。如果您無法與親人面對面討論這些問題，這是一個有用的選擇。

4.授權書。為喪失能力規劃是資產規劃的重要部分。如果你喪失能力，你就需要授權某人去管理你的財務。如果您沒有授權書，您的家人將需要轉向法院系統，這會造成延誤並增加壓力。您還想有醫療授權書。大多數人認為他們的配偶會立即擔任這個角色，但不是每個人都能做出艱難的決定，特別是在緊急情況下。

5.法律諮詢。資產規劃法例由您所居住的州去管轄。您最好是預約當地的資產規劃律師，了解是否還有其他文件和計劃需要落實。一些律師事務所提供了記錄資產的工具，以確保在您去世時，您的家人不需像進行尋寶遊戲去識別您的資產。在某些州，您可以指派一名葬禮代表，以確保您的葬禮，土葬或火葬和追悼會的願望得以實現。您的律師會知道您和您的家人需要什麼。

參考: Augusta Free Press (Nov. 27, 2018) “5 estate planning must-haves”

How Will You Pay for Nursing Care? 你將如何支付護理費？ (中英對照)

“While the U.S. inflation rate was 2.1% for the first half of the year, the cost of a one-room assisted living facility grew by 6.67% from 2017 to 2018, Genworth Financial says.”

In other words, you’re going to need a much heftier retirement fund or a better plan, to prepare for the possibility of needing long term care. A recent article from CNBC, “This retirement expense has hit $100,000 annually–and it’s continuing to rise,” reports that a larger number of older adults will need specialized care. Another problem is a shortage of skilled workers. Care expenses will rise with wage demands. Your best bet: start planning now for how you’d like to receive—and pay for—your care.

Overall, the rising cost of care has outpaced inflation. The CPI (Consumer Price Index) for all urban consumers was 2.1% for the first half of 2018. The annual median cost of a room at an assisted living facility grew faster, and even the cost of a shared room in a nursing care facility increased—by 4.11%.

Here’s a look at the most expensive places to seek care:

Aging in Alaska is the most expensive state, if you need to be in a nursing home. The annual median cost for a private room: $330,873, according to the Genworth study. An alternative might be assisted living facilities. However, they offer less medical care or assistance. There’s also the option of having a home health care aide come to visit.

Home health care services cost the most in Hawaii, where patients pay an annual cost of $68,640 for just 44 hours a week of care at home. The growing demand for support services, is likely to push the cost of care even higher.

People planning to retire in five years or so, can prepare by working with a knowledgeable advisor. The first question is, where do you want to receive care? The next one is to plan for the worst-case situation, where you or a spouse need the care that only a skilled facility can provide.

The solution, if you can get coverage, may be a long-term care insurance policy, or a life insurance policy with a long-term care feature. The cost may be high but the costs you might incur without that coverage will be way higher.

Another solution is Medicaid (Medi-Cal in California).  In most states, Medicaid is the only government program that can nursing care.  However, Medicaid is not open to everybody.  You must pass a means-test in order to qualify for Medcaid.  Medicaid involves a series of complex rules and it is not easy to tell right away whether a person qualifies for Medicaid.  If you want to know whether you qualify for Medicaid, you should contact an attorney specializing in this area. 

Part of your planning should also include selecting trusted people, family or friends, who can be named to take over your financial matters (power of attorney) or medical care (health care power of attorney), should you become incapacitated, by illness or injury.

Your estate planning attorney will be able to help you prepare these documents, along with a comprehensive estate plan that protects you and your family while you are living and after you have passed.

Reference: CNBC (Oct. 20, 2018) “This retirement expense has hit $100,000 annually–and it’s continuing to rise”

Genworth Financial表示，“雖然上半年美國通脹率為2.1％，但室內輔助生活設施的成本從2017年到2018年增長了6.67%。”

換句話說，你需要一個更強大的退休基金或更好的計劃，為需要長期護理的可能做準備。 CNBC最近發表的一篇文章稱，“This retirement expense has hit $100,000 annually–and it’s continuing to rise”  大多數老人需要專門護理。另一個問題是技術工人短缺。護理費將隨工資需求而增加。您最好的選擇是現在就開始計劃您希望如何接收並支付您的護理費。

總體而言，護理成本的上升超過了通貨膨脹。 2018年上半年所有城市消費者的CPI（消費者價格指數）為2.1%。可是輔助生活設施的房間年度中位數成本增長更快，甚至護理設施中共用房間的成本也增加了 4.11%。

以下是護理費最昂貴的地方：

如果你需要住在養老院，阿拉斯加是養老最昂貴的州。根據Genworth的研究，私人房間的年度中位數成本為330,873美元。另一種可能是輔助生活設施。但是，他們提供的醫療保健或援助較少。還有另一個選擇是請家庭醫療助手前來探望。

在夏威夷，家庭醫療保健服務的成本最高，患者每週僅44小時就需支付一年68,640美元的費用。對於支援服務的需求不斷增加，這可使護理成本更高。

計劃在五年之內左右退休的人可以通過與專業人士合作來做好準備。第一個問題是，您想在哪裡接受護理？下一個為最壞的情況打算，您或配偶需要入住護老院才可護理。

如果保險些，解決方案可能是長期護理保險政策，或具有長期護理功能的人壽保險。成本可能會很高，但如果沒有覆蓋所有範圍，可能會產生更高的成本。

另一種解決方法是醫療補助（加州白卡）。 在大多數州，醫療補助是唯一可以提供護理的政府計劃。 但是，醫療補助計劃並不對所有人開放。 您必須通過一連串的經濟審查才能獲得醫療補助資格。 醫療補助涉及一系列複雜的規則，並且不能立即便判斷一個人是否有資格獲得。 如果您想知道自己是否有資格獲得白卡，您應該聯繫專門從事該領域的律師。

您的計劃還應包括選擇可信賴的人，家人或朋友為您在生病或受傷而無法處理財務或醫療時去幫你處理有關事務。

您的資產規劃律師將能夠幫您準備這些文件，一個全面的資產計劃能在你在生及去世後去保護您和您的家人。

參考: CNBC (Oct. 20, 2018) “This retirement expense has hit $100,000 annually–and it’s continuing to rise”