Seasons Alberta Magazine

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total price of a nursing home, these can be considered deductible medical expenses. To keep it simple, this means that many seniors could get back up to 25% to 30% of their health-related costs. 4) When funding senior living, many seniors don’t take into consideration all of their sources of income which could include Canada Pension Plan, Old Age Security, RRSP/RIF, TFSAs and non-registered investment income, pension plans (personal or from a spouse), family recreation property, and so on. It is important to remember that these funds have been built over a lifetime to be used in part to cover retirement expenses; now is that time. 5) In some cases, people have bought Long-Term Care Insurance that will cover some health care costs.*

Additionally, there’s the non-monetary value that comes with moving into a Seasons community. This includes access to 24-hour emergency response, a planned social calendar, flexible care support, no more to-do lists or home renovations, balanced meal selections, along with greater peace of mind for both residents and their families. We would encourage you to speak with the Seasons Leasing Manager at your desired location for more information. *Financial advice contributed by Ted Rechtshaffen, MBA, CFP, CIM, president and wealth advisor at TriDelta Financial, a boutique wealth management firm focusing on investment counselling and estate planning. tedr@tridelta.ca Note, this is not a paid partnership. Please consult your trusted financial advisor for personalized financial advice.

MORE Affordable THAN YOU THINK

Staying at home with care or moving to a retirement residence – how much does it really cost, and how will I afford it?

T h e truth is, there’s no “one-size-fits-all” answer to this commonly asked question. Many people experience “sticker shock” when they first hear the cost of retirement living. It’s hard for many to comprehend paying a monthly fee when you have worked so hard to become mortgage-free. If you compare the cost of living at home with no support in place, retirement home living may appear expensive in comparison. However, most people move to a retirement home when a change in circumstance has occurred, such as a health concern or a desire for a more convenient, worry- free lifestyle. Five crucial factors make the monthly expense much easier to handle, and in fact, might be more affordable than you think: 1) If you move out of your home, you are leaving behind significant expenses. First off, you will eliminate most of your food costs and utilities. If you

are a homeowner, you will eliminate your condo fees or maintenance costs, as well as realty taxes. While it’s impossible to provide a general savings number given the range in lifestyles and realty costs across the country, it would be fair to say that most people will eliminate anywhere from $18,000 to $60,000 a year by not living at home. 2) When you are at the stage of living in a retirement residence or nursing home, your lifestyle expenses usually decline meaningfully. Your travel costs, dining expenses, new clothing budget, and entertainment spending – which could have been $25,000 or more when you were 70, might now be $2,500 or less. 3) There are tax credits that can help. In particular, the Medical Expenses and Disability Tax Credit are two of the largest among several that can reduce after-tax expenses. For example, suppose there are health care costs in a retirement residence or the

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