Wealth Connexion outlines 5 potential strategies to help fund your aged care costs.
Preparing yourself or your loved ones to enter aged care is often a stressful and expensive task, especially if you are undertaking it alone. Because of this, you may be wondering about the potential options available to you to help fund this transition.
At Wealth Connexion, our aged care financial advisors will ensure that you are not alone in this process by assisting you to maximise your finances when you or your family member are making the move into aged care. In this blog, we explore 5 potential strategies that you could implement to help fund your aged care costs.
Have a solid financial plan in place
The most important strategy to help fund your aged care costs is to ensure that you implement a plan for the future, before beginning the transition to aged care. This can be achieved by making sure that you begin saving earlier in life so that you have as much time to amass funds as possible, as well as by setting up a financial plan to assess how you will be able to fund your future expenses.
Contribute to your super to maximise your pension
In addition to setting up a financial plan, you can maximise your wealth early by making personal contributions to your superannuation account. Not only will these contributions boost your super to be later converted to a pension, but you may also be able to claim tax deductions on your contributions if you meet the criteria. To discover what contributions and benefits you could be getting from your super, contact Wealth Connexion for tailored advice from professional aged care financial advisors.
Make use government subsidies and supplements available
To help Australians meet the costs of aged care, the government has several subsidies and supplements available that you could be eligible for. The subsidies available to you will vary depending on the type of aged care you are going into, and the supplements you can receive will depend on your individual circumstances.
Utilise tax benefits and offsets
To meet your aged care costs you can also explore some of the tax benefits and deductions that you may be eligible for. For example, depending on your circumstances you may be eligible for a medical expenses tax offset.
Consider selling your assets
If the above strategies are not enough, you may want to consider boosting your finances by selling any superfluous assets you may have. This could include selling any unused vehicles or investment properties you may have, or downsizing or selling your home in order to develop a financial safety net for this next transition in your life.
