Elder Care

What Changes Will Be Made to Social Security This Year?

Social Security now delivers benefit checks to more than 63 million people every month, so it’s important to know what changes will be made to social security this year.

The program is primarily designed to provide a financial foundation for our nation’s retired workers. Nearly 45 million retired workers (70% of all beneficiaries) receive a benefit check monthly, with more than 60% of these seniors expecting their payout to make up at least half of their income.

What changes will be made to social security this year
There will be five primary changes to Social Security this year.

Motley Fool’s recent article, “5 Social Security Changes in 2020 That Could Affect Your Take-Home Income” explains that with the relative importance of Social Security, it should come as no shock that the second week of October holds considerable importance to these tens of millions of Americans. That’s because it’s when the Social Security Administration (SSA) announces changes to the program for the upcoming year. Any changes could directly affect what beneficiaries are paid on a monthly basis. These changes can also affect non-retirees who aren’t getting a Social Security benefit. Let’s look at some of the primary changes.

  1. COLA. The most important figure in the announcement from the SSA is the cost-of-living adjustment (COLA). The COLA is measured by the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). The average monthly CPI-W reading from the third quarter of the current year (July through September) is compared to the average monthly CPI-W reading from the third quarter of the previous year. If the average figure has risen from the previous year, then beneficiaries receive a “raise” that’s in line with the percentage increase year over year, rounded to the nearest 0.1%.
  2. Withholding thresholds. Early claimants who haven’t hit their full retirement age but are currently (or expected to begin) taking benefits, will now be subject to the retirement earnings test. This test allows early filers to earn up to a certain amount of money each year, before the SSA is allowed to withhold a portion, or all, of their benefit. For those who won’t reach their full retirement age in 2019, $1 in benefits can be withheld for every $2 in earnings above $17,640 ($1,470 a month). For those who’ll reach their full retirement age this year but have yet to do so, are allowed to earn $46,920 before the SSA begins withholding $1 in benefits for every $3 in earnings above the limit. Note that these withheld benefits aren’t lost forever, because you get them back in the form of a higher monthly payout when you reach your full retirement age.
  3. Maximum monthly payout. If you’re currently claiming a retired worker benefit and have made a good deal of money on an annual basis over your working career, there’s a chance that you’ll be able to net more in monthly payouts in 2020. There’s a cap on the maximum monthly payout at full retirement age. In 2019, no individual at their full retirement age can take home more than $2,861 per month, even if they made millions of dollars each year throughout their working career.
  4. Disability income thresholds. Even though 70% program recipients are retired workers, about 10 million people each month also get a check from Social Security Disability Insurance (SSDI). Approximately 8½ million are disabled workers, and the rest are spouses or children of these disabled workers. If the average CPI-W reading does increase on a year-over-year basis from the previous year (which appears likely), these SSDI income thresholds for the disabled and legally blind should go up a little in 2020.
  5. A warning to the wealthy. Lastly, SSA changes for 2020 won’t just impact those receiving a benefit. Wealthy workers can also anticipate paying more into the program, provided that inflation rises on a year-over-year basis, as measured by the CPI-W.

Reference: Motley Fool (July 28, 2019) “5 Social Security Changes in 2020 That Could Affect Your Take-Home Income”

What Does an Elder Law Attorney Really Do?

A knowledgeable elder law attorney will make certain that he represents the best interests of his senior client in a variety of situations that usually occur in an elderly person’s life.

An elder care attorney will also be very knowledgeable about several different areas of the law.

The Idaho Falls Spokesperson’s recent article, “What is an Elder Law Attorney and What Can They Do for You?” looks at some of the things an elder care attorney can do.

Elder care attorneys address long-term care issues, housing, quality of life, independence and autonomy—which are all critical issues concerning seniors.

Your elder law attorney knows that one of the main issues senior citizens face is sound estate planning. This may include planning for a minor or adult child, as well as probate proceedings, which is a process where a deceased person’s assets are collected and distributed to the heirs and creditors.

The probate process may also involve the Uniform Probate Code (UPC). The UPC is a set of inheritance rules written by national experts. A major responsibility of the probate process is to fully administer the entire estate, including appointing executors and ensuring that all assets are disbursed properly.

An experienced elder law attorney can also assist your family to make sure that your senior receives the best possible care arrangement, which may become more important as his or her medical needs increase.

An elder care law attorney also helps clients find the best nursing home to fully satisfy all their needs. Finally, they often will also work to safeguard assets to prevent spousal impoverishment, when one spouse must go to a nursing home.

A qualified elder care attorney can be a big asset to your family, as you journey through the elder care planning process. Working with an attorney to set up contingency plans can provide peace of mind and relief to you and your loved ones.

Reference: Idaho Falls Spokesperson (May 20, 2019) “What is an Elder Law Attorney and What Can They Do for You?”

Stan Lee’s Former Manager Arrested on Elder Abuse Charges

District Attorney of Los Angeles County Jackie Lacey has leveled elder abuse charges against Stan Lee’s former business manager, Keya Morgan.

Lee, the creator of Spiderman, the Black Panther, and other comic book heroes.

MSN’s recent article, “Stan Lee’s Ex-Manager Hit With Elder Abuse Charges; Arrest Warrant Issued” reports that Morgan is facing one felony count of false imprisonment of an elder adult, three felony counts of theft, embezzlement, and forgery or fraud against an elder adult, as well as the initial elder abuse misdemeanor count.

Morgan took control of Lee’s business affairs and personal life in February 2018. Lee, the creator of Spiderman, the Black Panther, and other comic book heroes, had assets of more than $50 million in the last years of his life. Lee passed away on November 12, 2018. Morgan is said to have isolated his client from family and friends. Morgan also embezzled or misappropriated $5 million of assets, according to documents filed in Los Angeles Superior Court in 2018.

The five counts of elder abuse filed on May 10 could put Morgan in prison for 10 years, if he’s found guilty.

The public first learned of the troublesome relationship between Morgan and Lee last summer, when the then 95-year old Marvel comic book legend sought a restraining order against his ex-aide over elder abuse. The request was made just three days after Lee put out a June 10, 2018 video on social media insisting that he and Morgan were working “together and are conquering the world side-by-side.”

Because of the video and the elder abuse filing, Lee’s financial advisor was arrested by the Los Angeles Police Department on suspicion of filing a false police report, allegedly concerning a supposed break-in incident at Lee’s residence.

A three-year restraining order against Morgan was granted by a county judge last August. He was found guilty of the false police report misdemeanor charge in April 2019 and was ordered to stay away from Lee’s family and residence among other conditions.

After years of making cameos in all the Marvel blockbuster movies, Lee’s last appearance was in the record smashing Avengers: Endgame, which was released last month.

Reference: MSN (May 15, 2019) “Stan Lee’s Ex-Manager Hit With Elder Abuse Charges; Arrest Warrant Issued”

Should Elder Care Benefits Be Part of Employees’ Compensation?

As employees’ parents and family members grow older, many are asked to be caregivers. More than one in six Americans working full-time or part-time report assisting with the care of an elderly or disabled family member, relative or friend. Of this group, nearly 50% say they have no choice about taking on these responsibilities. That’s why many struggle in silence, deciding not to share their situation with employers out of fear for the impact on their career or a desire for privacy.

Elder Care Benefits
Some employers offer employee assistance programs that include elder care benefits.

Benefits Pro reports in the article “Elder care benefits: A growing need for the U.S. workforce” that under the federal Family and Medical Leave Act (FMLA), “family leave for seriously ill family members” is required by law. However, the law offers unpaid job protection and the definition of family member is restricted to spouse, child or parent. This has resulted in an increase in demand for elder care benefits. There are a variety of options that businesses can offer.

Many employers now offer an employee assistance program (EAP), which provides employees and household members with educational and referral services for elder care. These services often include free and confidential assessments, short-term counseling, referrals and follow-up services. These EAPs also address a broad body of mental and emotional well-being issues, like alcohol and substance abuse, stress, grief, family problems and psychological disorders.

In addition, some employers also have Dependent Care Assistance Plans (DCAP), commonly referred to as the “day care benefit,” allowing employees to set aside tax-free dollars for qualified elder care. While DCAPs don’t cover the entire cost of elder care, they can provide up to $5,000 per calendar year in assistance and lessen employees’ federal tax burden.

Respite care is an important elder care benefit and provides short-term relief for primary caregivers and can be arranged for just an afternoon or for several days.

Caregiving has shown to reduce employee work productivity by 18.5% and increase the likelihood of employees leaving the workplace. Offering elder care benefits to employees can help with retention and efficiency, as well as with businesses’ bottom line. A study by the Center for American Progress found that turnover costs are often estimated to be 100 to 300% of the base salary of the replaced employee.

As the demand for these benefits continues to increase, employers are recognizing the diverse needs of their workforce and are creating programs that have benefits to help at all stages of life.

Reference: Benefits Pro (April 30, 2019) “Elder care benefits: A growing need for the U.S. workforce”

Why Is Everyone Retiring to Florida?

A recent report by WalletHub ranks Florida as the best place to retire in terms of affordability, health-related factors and overall quality of life. According to the U.S. Census’ 2017 Population Estimates Program, roughly a half-million Miami-Dade County residents are over the age of 65, and by 2040, 1 in 5 Americans will be over the age of 65, according to the annual report produced by the Administration for Community Living.

It is no surprise to us that people would want to retire in Florida.

Advances in medicine are helping with longevity, but various improvements in diet and lifestyle have also helped, says The Miami Herald in the article “Plan now on ways to take care of yourself through a long retirement.”

It’s important to keep your lifestyle through retirement, and it’s an essential part of any financial plan. You’ll need to budget for plans or services that help you in your later years, such as everyday tasks, medical care, or even where you live.

Take some time to consider how you want your later years to look, like where you would want to live—whether that’s at home (possibly with live-in help) or in an assisted-living facility. With our longer life spans, we encounter more significant health risks, like cognitive issues. According to research, 37% of people over the age of 85 have some mild impairment and about one-third have dementia. The Alzheimer’s Association says that 540,000 people aged 65 and older reported living with Alzheimer’s in Florida in 2018. Roughly 15% of those in Florida hospice care had a diagnosis of dementia in 2015. Therefore, you can see why it is critical to think about this now and communicate your long-term needs to your family.

As we get older, the ability to maintain a lifestyle we like, can become a financial challenge. This is especially true, if we also face an unexpected health condition. Making wise decisions now, can have a dramatic impact on what those later years will look like. Saving for a lengthy retirement can help you prepare to face any potential issues that may arise.

Making provisions for your family and leaving a legacy, isn’t always an easy task. However, the financial security of your family may depend not only on how you manage your wealth today, but also on how you protect and preserve it for the future. Your estate plan can help you prepare now to provide for your loved ones in the future.

Talk to your family and your estate planning attorney about these issues and ensure that your legacy planning is up to date, by regularly updating your will, trust, or advanced medical directives.

Reference: Miami Herald (February 1, 2019) “Plan now on ways to take care of yourself through a long retirement”

Why is Actress Edie McClurg’s Family Asking the Court for a Conservatorship?

Family and friends of the 67-year-old actress Edie McClurg recently filed court documents requesting a conservatorship to manage her affairs, according The Daily Mail article, “Edie McClurg of Ferris Bueller’s Day Off suffers from dementia prompting family to seek conservator.”

Edie McClurg

They said neurological tests provide evidence that McClurg is unable to live alone without assistance and is “especially vulnerable to undue influence, given her poor judgment and evident dementia.”

A conservatorship is a court case where a judge appoints a responsible person or organization (“conservator”) to care for another adult (the “conservatee”) who is unable to care for herself or manage her own finances.

Court documents show that her family and friends have an immediate concern about a 72-year-old male friend, who has been living with McClurg for several years. The individual has discussed marrying her. However, McClurg’s family and friends don’t believe she’s capable of understanding their relationship. They also allege that he’s been verbally abusive and tried to compel her to sign documents altering her estate planning. The filing asked the court to appoint McClurg’s cousin Angelique Cabral as the conservator.

McClurg played Grace, who was the assistant of Principal Edward R. Rooney, in the 1986 teen comedy Ferris Bueller’s Day Off, starring Matthew Broderick. She made her film debut in the 1976 horror movie Carrie by director Brian De Palma based on a novel by Stephen King.

McClurg’s film credits also include A River Runs Through It; Planes, Trains and Automobiles; and Back to School. The actress also has done voice work on film and television including The Little Mermaid, Frozen, Wreck-It-Ralph, and A Bug’s Life.

McClurg was born and reared in Kansas City, Missouri. She graduated from the University of Missouri Kansas City and also earned a master’s degree from Syracuse University.

Reference: Daily Mail (February 2, 2019) “Edie McClurg of Ferris Bueller’s Day Off suffers from dementia prompting family to seek conservator”

Spiderman Creator Stan Lee’s Estate Needs Untangling

It’s going to take more than a super hero to unravel the mess that Stan Lee left behind.

The passing of Stan Lee, famed Marvel Comics publisher and chairman, was sad for his legions of fans. For his 68-year-old daughter J.C., there’s grief and a challenging estate to be settled. His last years were hard, with ill health, the passing of his wife of nearly 70 years and accusations of sexual harassment from nurses and home aides.

Stan-leeIn addition, Lee reportedly said that $1.4 million dollars was missing from his bank accounts and that a large chunk of the money had been used to purchase a condo.

MarketWatch’srecent article, “Stan Lee’s tangled web of estate planning and how to avoid it in your own life,”reports that Lee had also hired and fired several business managers and attorneys in this time.

“I learned later on in life, you need advisors, if you’re making any money at all,” he told the Daily Beastin a 2018 interview. He also remarked that he’d done much of his own money management at the start of his career.

“But then, a little money started coming in, and I realized I needed help. And I needed people I could trust. And I had made some big mistakes. And my first bunch of people were people that I shouldn’t have trusted.”

It’s not known at this point, if Lee had a will or any trusts in place. If he did not, then he’s joining other late celebrities like performers Aretha Franklin and Prince who failed to draft these documents. As a result, their heirs and potential beneficiaries have had to go to court to straighten things out.

Keeping track of an estate plan can become harder as a person ages, because he or she could suffer cognitive decline, or a professional or family member may think he or she is suffering from this. Stan Lee was the subject of this type of inquiry: in February, he signed a document declaring that his daughter spent too much money, yelled at him, and befriended three men who wanted to take advantage of him, the Hollywood Reporterreported. However, a few days later, Lee took it back.

Seniors can become get less confident in what they’re doing, and they are more susceptible to the influence of others who may not have the best of intentions. However, you can easily create an estate plan with which you’re comfortable, with the help of an experienced estate panning attorney.

A big rat’s nest that will need to be addressed by Lee’s daughter will be dealing with the many business documents that may be floating around from his current and past business managers and attorneys. To avoid this, work with an estate planning attorney and ask some specific questions, such as:

  • How do we organize and simplify my assets?
  • Will we need a trust, and how will they be managed?
  • How will you coordinate with my executor and/or attorney-in-fact while I’m well, and after I’m sick or gone?
  • How do you determine cognitive decline in an individual? What would you do, if you believed my ability to answer questions and manage my funds was diminished? What would you do once you’ve made this decision?
  • How often will we review my beneficiary designations and estate planning documents?
  • How should we coordinate a team of financial and legal professionals to make sure all are working towards the same goals?
  • How much or how little information about my estate should be discussed with family members?

Reference: MarketWatch(November 17, 2018) “Stan Lee’s tangled web of estate planning and how to avoid it in your own life”

300,000 Americans to Gain Medicaid Benefits

Most of those who will be eligible in 2019 are over age 50 and would otherwise have no healthcare.

Ballot measures in three states—Idaho, Nebraska, and Utah—will extend the federal- and state-funded healthcare program to allow access to approximately three hundred thousand low-income Americans.

MP900398819AARP’s recent article, “Medicaid to Expand in 3 States,” reports that with the passage of ballot measures in those three states, 37 states, including DC, have now expanded the Medicaid program, since the Affordable Care Act (ACA) created the opportunity to offer more people coverage.

The success of the three ballot measures “is a recognition that Medicaid plays an important role in our society for those who are in need and that it’s an issue that has changed a great deal over the past five or six years from a political standpoint,” says John Hishta, AARP senior vice president for campaigns. “I think the voters have led the way in some of these states.”

Montana voters rejected a measure that would have increased tobacco taxes on cigarettes and taxed other tobacco products to pay for the state’s share of Medicaid expansion, veterans’ mental health, and home- and community-based services. Nearly 130,000 low-income residents in that state may now lose their Medicaid eligibility in 2019, if the state Legislature doesn’t act.

The mid-term election results in three other states could have implications for their Medicaid programs as well. Maine’s Democratic Governor-elect Janet Mills supports expanding Medicaid. The state’s voters decided in 2017 to expand the program, but the current governor, Republican Paul LePage, refused to implement the expansion.

Kansas’ Democrat Governor-elect Laura Kelly stated in the campaign that she’d push for legislation to expand Medicaid during her first year in office. In 2017 the Republican-controlled Kansas House of Representatives and Senate passed legislation to extend Medicaid, but the current Governor Sam Brownback vetoed it. The Legislature couldn’t override his veto.

Wisconsin’s Governor-elect Tony Evers says he wants to expand Medicaid, which would provide coverage to at least an additional 80,000 people in that state.

Most of the people who apply for Medicaid work but do not earn enough to cannot afford health insurance. The program allows people between 50—64 years of age to get health care coverage.

Reference: AARP (November 8, 2018) “Medicaid to Expand in 3 States”

Ohio Expands Mandatory Reporters of Elder Abuse

It makes sense that the people who come in contact with the elderly about their health and property be required to report any kind of elder abuse. After all, they are on the front lines where abuse often occurs.

Ohio has expanded the number of professionals who are now required to report elder abuse, adding bank employees, financial planners and notary publics, who you might expect to be on the list, as well as pharmacists, dialysis technicians, firefighters, first responders, building inspectors, CPAs and real estate agents.

MP900383004Their ability to spot issues from many different perspectives, increases the chances that more cases of elder abuse will be reported and addressed.

The Dayton Daily News’recent article, “This new law means many more Ohio officials are watching out for elder abuse. Here’s why it was passed,”explains that elder abuse can include exploiting another person’s resources; physical, emotional, or sexual abuse; or neglecting to meet a person’s basic needs. There were more than 16,000 reports of abuse, neglect, and exploitation of Ohio adults aged 60 and older in 2017. However, only one in 14 cases is reported, according to National Institutes of Health estimates.

“This expansion of mandatory reporters will help us in our goal of protecting our vulnerable family members, friends and neighbors from harm,” said Cynthia Dungey, director of the Ohio Department of Job and Family Services, which supervises Ohio’s Adult Protective Services program.

Financial institutions are one of the main places where exploitation can be recognized. Officials are educating tellers to identify the signs, such as an older customer appearing confused or distant or withdrawing unusual amounts of money.

Other signals of elder abuse can include seniors living in isolation, missing appointments, appearing frightened or avoiding specific people.

Whenever there is a dramatic change in behavior patterns, including a withdrawal from their usual activities, a change in mood or temperament or flinching at any kind of physical contact, elder abuse may be occurring.

Elder abuse risks increase when poverty, declining health, dementia, domestic violence or other traumatic events are present. The elderly person with no family, support system or access to community services is more likely to become a victim.

Reference: Dayton Daily News (September 29, 2018) “This new law means many more Ohio officials are watching out for elder abuse. Here’s why it was passed.”

Preparing for the Realities of Aging

A healthy life where you retain all your faculties and enjoy yourself, is definitely preferred to decades of dementia. We don’t get to choose, but we can plan.

As Baby Boomers continue to change the face of aging, and so many embrace the idea of genetic testing, many are confronted with a harsh picture of what their future may bring. If that includes dementia, there are facts you need to know and myths that need to be uncovered.

MP900439289The (Bryan TX) Eagle’s recent article, “Alzheimer’s disease: Five common myths, busted,”reports that, according to the Alzheimer’s Association, one in three seniors dies with Alzheimer’s or another type of dementia. There are up to 5.7 million individuals who live and die with the disease, which makes it the sixth leading cause of death in the United States. The article provides five common myths about Alzheimer’s disease.

Myth # 1: Memory loss is a normal part of growing older. A slip of the memory may well be a normal part of growing older. While these forgetful moments may cause a bit of frustration and embarrassment, they don’t affect our ability to live an independent life. However, if a loved one has trouble remembering commonly used words or loses the ability to communicate, it could be a potential symptom rather than a natural senior side-effect.

Myth # 2: Alzheimer’s can be reversed if it’s diagnosed early.No. Unfortunately, there's no treatment that will reverse the progress of Alzheimer’s disease. However, although there are therapies and drugs that can slow down the neurodegeneration associated with Alzheimer’s, there is no known cure. Even so, early diagnosis has its benefits, like better symptom management, a safer patient environment and the ability to plan for the future.

Myth # 3: Alzheimer’s just affects older people. Some Alzheimer’s patients can get diagnosed in their 40’s or 50’s. The early onset Alzheimer’s is uncommon (just 5% of patients are diagnosed before age 65); an accurate diagnosis is important to help the family cope with the realities of the disease.

Myth # 4: A diagnosis of Alzheimer’s means your life is over. Many people live years or even decades, before the disease claims their lives. Alzheimer’s effects each patient differently. The disease is commonly divided into three stages. The first or “mild” stage is where the patient is able to live a mostly normal life. The middle or “moderate” stage requires more extensive care. And in the late or “severe” stage, the patient needs 24/7 supervision and medical assistance. Life many never be the same with an Alzheimer’s diagnosis, but it’s far from over.

Myth # 5: There’s little you can do to protect yourself financially, if you are diagnosed with the disease. A serious diagnosis of any type can drastically impact a family, but it’s important to understand that there are things you can and should do to help your loved ones manage what comes next, emotionally as well as financially. Look at these ways you can help:

  • Create a list of all financial accounts;
  • Review the titles and names on each account;
  • Look at your options for paying for medical care, such as existing insurance policies, Medicare coverage, or other sources of funding;
  • Consider designating a Durable Power of Attorney for Healthcare, so that a trusted person can make decisions for the patient if there’s an accident or incapacitation;
  • Communicating preferences for living arrangements, medical assistance, and end-of-life care; and
  • Be sure your will is up to date.

Speak with an elder law attorney, who will be able to help you and your family navigate this process. He or she will also be able to recommend local resources that will help make this journey as good as it can be.

Reference: The (Bryan TX) Eagle (October 4, 2018) “Alzheimer’s disease: Five common myths, busted”

Scroll to Top