Money Matters

Managing your money is important as you get older. There are new financial management issues to consider with retirement and/or job changes. Your income may decrease significantly when you retire, causing you to change your spending habits. Affording expenses such as health care may bring new challenges. Another significant challenge is being able to support yourself and possibly a spouse through the rest of your lives within a new financial outlook. We hope the categories listed below and general resource links are helpful to you as you sort out your money matters.

Money Matters Sub Navigation

• Financial Assistance
• Financial Planning
• Health Insurance

General Resource Links

• My Money.gov - the Federal Government's website dedicated to helping Americans understand more about their money – how to save it, invest it, and manage it to meet your personal goals.
  
  
• Health Insurance - MEDLINEplus – General overview, news, laws, and statistics
  
  
• Money and Work – AARP – Information on saving for retirement, employment options, consumer protection, and more
  
  
• National Consumer Law Center – Consumer Information to protect your money from fraud and other scams
  
  
• Women’s Institute for a Secure Retirement - Mission is to inform women about the issues that affect their long-term financial security. Several WISER activities funded by the Administration on Aging.
  

Financial Assistance

When planning your financial future one concern that you may face is whether or not you will be able to meet all of your financial obligations. With your income changing because of retirement or an unexpected life event, you may find yourself with fewer resources. There are national programs that may be of help to you in paying your bills. There are also programs that can assist you in locating benefits. Use the sub navigation links for more information on food stamps, housing assistance, energy assistance, and supplemental security income. The resources links below provide more information about benefits information and programs to help you pay for your telephone, taxes, and more.

Financial Assistance Sub Navigation

• Food Stamps
• Housing Assistance
• Low Income Home Energy Assistance Program (LIHEAP)
• Supplemental Security Income (SSI)

Resource Links:

• BenefitsCheckUp.org – NCOA – A nonprofit site thathelps people ages 55 and over find programs that may pay for some of their costs of prescription drugs, health care, utilities, and more.
  
  
• GovBenefits.gov – Helps people find government benefits they may be eligible to receive.
  
  
• Lifeline Assistance Program- FCC - Telephone discount program that gives people with low incomes a discount on the basic monthly service for either their wireline or wireless phone and may also pay for a portion of your installation or activation fee.

 Food Stamps

Federal, state, and local governments run various food and nutrition programs to help low-income individuals and families. You must meet certain eligibility requirements, depending on the program. One of the most recognized programs is the federally-funded Food Stamp Program. To apply to the program, you can contact your local Food Stamp office to set up an interview.

Resource Links:

• Food Stamp Program – USDA – Program enables people with low incomes to buy nutritious food with coupons and Electronic Benefits Transfer cards
  
  
• Food Stamp Program Hotline – USDA – Call the phone number of your State listed here to get answers to food stamp questions and locate your local Food Stamp office

Housing Assistance

Housing assistance programs help support and protect low-income families, older Americans, and the disabled. You may seek housing assistance to find safer neighborhoods, low housing costs, or services such as meals on wheels. There are government assistance housing options that include public housing, section 8 and housing choice vouchers, and section 202. The Housing Finance Agency in your State, which administers housing and community development programs, is another resource for housing assistance. For more information on these resources, visit the websites below.

Resource Links:

• Government Assisted Housing - Information on government assisted housing options and how to apply.
  
  
• Homes & Communities – HUD – Provides information on housing options and financial assistance for senior citizens
  
  
• Housing – AoA – Provides information on independent living, housing with services, nursing facilities, assistive technology, and home remodeling
  
  
• Housing Choice Vouchers – HUD – Information on various voucher programs and how they operate
  
  
• Public Housing Program – HUD – Specifics about how the program works and eligibility requirements
  
  
• Housing Finance Agencies- National Council of State Housing Agencies – For information about these agencies as well as links to the Housing Finance Agency in each state
  
  
• Section 202 Supportive Housing for the Elderly Program – HUD - Program provides supportive housing for very low-income persons age 62 and older  

Low Income Home Energy Assistance Program

Do you ever have trouble paying your utilities? Your local Low Income Home Energy Assistance Program (LIHEAP) may be able to help you pay for your heating and/or cooling needs. Having suitable heating or cooling will help you to stay healthy. LIHEAP is a federally-funded energy assistance program that is run by the nation’s states and territories. Specifically, LIHEAP may be able to assist you with bill payments, an energy crisis, and weatherization and energy-related home repairs. You may apply to the LIHEAP program in your community. You can call the National Energy Assistance Referral (NEAR) project toll-free at 1-866-674-6327 for information on where your can apply for LIHEAP. Visit the Agency for Children and Families’ website for more information about LIHEAP.

Resource Links:

• LIHEAP - ACF – A federally-funded program to help eligible low income households meet their home heating and/or cooling needs
  
  
• LIHEAP State Coordinators Contact List – ACF – Find the phone number of the your State’s LIHEAP office here

Supplemental Security Income

Supplemental Security Income (SSI) is a federal income supplement program administered by the Social Security Administration and funded by general tax revenues designed to help aged, blind, and disabled people who have little or no income. The program pays monthly benefits to people age 65 or older, or blind, or disabled and who do not own a lot or have much income. To receive SSI, besides meeting income and asset requirements, you must live in the U.S. or Northern Mariana Islands; be a U.S. citizen or national, although some non-citizens can qualify; apply for Social Security or other benefits if you are eligible (you can get SSI and Social Security if eligible for both); and accept vocational rehabilitation services if you are disabled and they are offered.

If you qualify for SSI, the amount you receive depends on where you live. For more information about SSI, visit the Social Security Administration website or call 1-800-772-1213.

Resource Links:

• Supplemental Security Income - SSA – Information on what SSI is, how to get it, and FAQs

With long life becoming increasingly common, more Americans realize that their retirement plans must address needs that arise over a longer life span.  People with the best chance of achieving and maintaining quality of life in their older years must anticipate these needs and plan for their retirement years. 

AoA is concerned with informing you about how we can better prepare for a more financially secure retirement. Therefore, we have identified the online resources listed below which include booklets and brochures about retirement planning from government and other sources, calculators of future financial needs and asset values, and more general information about personal financial planning.

Financial Planning Sub Navigation

• Estate Planning
• Retirement Planning
• General Resource Links

Resource Links:

• The American Savings Education Council - Nonprofit national coalition raising public awareness about long-term personal financial independence
  
  
• Consumer Information on Reverse Mortgages – Contains a wealth of information about reverse mortgages for consumers including FAQs, a calculator, cautions, and more
  
  
• Financial Security in Later Life – USDA – Links to financial planning resources
  
  
• Financial Tools – Choose to Save Education Program – Internet tools to help consumers plan for financial security
  
  
• The Investor’s Clearinghouse – Site includes an interactive investment knowledge quiz, a section on concerns of older investors, and directs visitors to information available from the Alliance for Investor Education’s members
  
  
• Pension Benefit Guaranty Corporation – Find out if there is a pension benefit owed to you by searching this directory
  
  
• Pension Help- Pension Rights Center – Provides contact information to consumers having problems with their pensions
  
  
• Taxes – USA.gov for Seniors – Tax information and assistance

Estate Planning

Planning for your financial future includes making difficult decisions about your finances and care. Preparation for the distribution of your estate when you die will save your loved ones an additional burden. Prior planning in the event that you become ill and are unable to make decisions for yourself will also protect your loved ones from having to make them, possibly without knowing or considering your intentions. Please use the resources below for more information.

Estate Planning Sub Navigation

• Wills
• Living Trusts
• Durable Medical Power of Attorney

Resource Links:

• Advance Care Directives – MEDLINEplus – Definitions, purposes, and recommendations
  
  
• Estate Planning – AARP – Articles on estate planning
  
  
• Planning Your Estate – Life Advice – GSA – Pamphlet of basic information on estate planning
  
  
• Planning Your Estate– American Bar Association Network – The page includes general public information on real property, probate, and trust law

Wills

The most common part of estate planning involves the preparation of a will. A will is a legal document that instructs what is to be done with a person’s money and property when he or she dies. Without a will, how to divide your property and money will be decided by the state in which you lived. See the websites listed below for more information.

Resource Links:

• An Introduction to Wills – American Bar Association Network – Includes what happens if you die without a will, what wills do and do not do, and how to execute them
  
  
• FAQs on Wills – AARP – General questions and answers
  
  
• Making a Will – Life Advice– GSA – General information
  

Living Trusts

One option that you have when estate planning is to create a living trust. A living trust, also known as a revocable trust, inter vivos trust, a family trust, and a grantor trust, is an arrangement you create while living to transfer your assets to a trust. You can act as your own trustee or select someone else.

According to the American Bar Association, a living trust, like a will, can provide for the distribution of property upon your death. Unlike a will, it can also provide you with a way of managing your property during your life, and authorize the trustee to manage the property and use it for your benefit and that of your family if you should become incapacitated.

Reasons for creating a living trust include that it can help avoid probate, reduce estate taxes, or set up long-term property management. Use the resources mentioned below and on the Estate Planning page of this site for more information.

Resource Links:

• Living Trusts: Arranging How You Want Your Property Managed Before and After Your Death – AARP – Resources, tips, and more
  
  
• Living Trust Offers: How to Make Sure They’re Trustworthy – FTC – General advice on estate planning and living trusts

Durable Medical Power of Attorney

MEDLINEplus defines a durable medical power of attorney as “ a legal document that allows an individual to appoint someone else (proxy or agent) to make medical or health care decisions, in the event the individual becomes unable to make and communicate such decisions personally.” Sometimes called a health care proxy or a health care surrogate, a durable medical power of attorney allows your wishes to be known and carried out. A durable medical power of attorney only has authority if you are incapacitated. Also, the person you appoint as a durable medical power of attorney has the right to decline the responsibility in the future. If you are considering this option as part of your estate planning, please visit the links below.

Resource Links:

• Consumer’s Tool Kit for Health Care Advance Planning – ABA – Ten tools for health care advance planning
  
  
• Understanding Power of Attorney – AARP – Article discusses the different types of power of attorney.

Retirement Planning

Because your pension and social security benefits will not likely support you through retirement, you will need alternative sources of income. Some advise you to save and invest toward a goal amount of money. There are sites that offer calculators where you can estimate how long you will need to save and how much each year. Others warn you must continue even through retirement. Building your portfolio through a laundry list of options such as stocks, bonds, CDs, mutual funds, treasuries, and more can be confusing.

Deciding what options will give you the most return on your dollar is a challenge. Use the online resources below for advice as you plan.

Resource Links:

• Retirement Planner – USA.gov for Seniors – Resources for retirement planning
  
  
• Social Security Benefits – SSA
  
  
• Top 10 Ways to Beat the Clock and Prepare for Retirement –DOL
  
  
• Consumer Pension Publications – DOL

Health Insurance

We can all understand the value of having health insurance when we are sick or get injured. But knowing what health insurance coverage you need can be confusing.

Your health insurance needs of today have probably changed since you first selected your employee health coverage. Learning about what health insurance options are available to you as you retire and/or become eligible for Medicare benefits may be critical to your future health.

As you investigate your options, you may have questions such as, “Will Medicare pay for all of my medical expenses?” or “Do I need coverage beyond medical expenses?” Use the sub navigation below to help answer such questions and for more information about long-term care insurance, Medicare, Medicaid, prescription drug coverage, and private insurance.

When making decisions about your health coverage, you may also need to decide what health insurance you can afford or find out where you can get assistance in paying for coverage. Below is a list of resources that can help you learn more about programs that may help you pay for your health insurance.

Heath Insurance Sub Navigation

• Long-Term Care Insurance
• Medicare
• Medicaid

Health Insurance Assistance Resources:

• Health Insurance Counseling – Elder Rights and Resources - AoA website – Link to SHIP programs.
  
  
• TRICARE for Life Benefits – Health benefits for active duty and retired members of the uniformed services, their families, and survivors
  
  
• Veterans' Benefits – If you or a spouse or parent served in the military and you think you may qualify for benefits, visit the Department of Veterans Affairs site or call 1-800-827-1000 to learn more.

Long-Term Care Insurance

You may never need long-term care. But the odds of needing long-term care increase with age. You may be concerned with the potential burden of the expenses a long-term illness or disability may bring you and your family. Exploring long-term care coverage may help give you peace of mind.

Long-term care includes services directed toward meeting the needs of someone who is unable to carry out every-day tasks without the help of another person because of reduced physical and/or mental functioning. These services can be received at home, in the community, or in a residential facility. Services could include nursing care, home health care services, and custodial care. Long-term care insurance coverage policies vary and generally cover specified services for a specified period of time. If you are considering buying long-term care coverage, visit the following websites for more information.

Resource Links:

• Long-Term Care Information on Medicare.gov – Site provides general information about long term care including long-term care insurance.
  
  
• Long-Term Care Ombudsman Program – AoA – A program that provides information and advocacy and effects change for residents of long-term care facilities

Medicare

Medicare is the largest health insurance program in the nation, covering nearly 40 million Americans. Medicare is a federal health insurance program that covers people age 65 or older, some people under age 65 with disabilities, and people with end-stage renal disease.

Resource Links:

• Medicare.gov – CMS – The official U.S. government site for people with Medicare or call 1-800-Medicare
  
  
• Assistance Programs – CMS – By answering a series of questions you can find out what health care coverage choices may help you pay for your health care costs
  
  
• Facts Sheets – The Kaiser Family Foundation – Facts sheets about Medicare, Medicare and prescription drugs, Medicare + Choice, and more
  
  
• Medicare Information – SSA – General Medicare and contact information

Medicaid

Medicaid is the largest program providing medical and health-related services to America's poor. Medicaid can help you pay for your medical costs. You may be eligible for Medicaid in your state and not know it.

Medicaid is a joint federal and state program that helps with medical costs for people with low incomes and limited resources and those who have little or no medical insurance. While there are general federal guidelines for Medicaid programs, the programs are run by states. Medicaid programs vary from state to state, but most health care costs are covered if you qualify for both Medicare and Medicaid.

General Resource Links:

• Consumer Information on Medicaid – CMS – Find general information, eligibility, and State Contacts.
  
  
• Medicaid Information – SSA – General information and links