Retirement Discussions - respect for DaveNV/Dave Slater

[klpca]

During open enrollment, there were a ton of commercials for what I assume were Medicare Advantage plans (“Get all the Medicare benefits you are entitled to, call now!”). The big thing was “the grocery card”, worth $1200 to spend at Walmart, drug stores, etc. What is up with that? Seems like you’d have to be paying more than the monthly “grocery benefit” or those were scammers. Two neighbors say, oh no, we had a card they loaded money onto evey month. Doesn’t sound like either of them are receiving that this year but neither has looked into it. I’m just curious, I’m not of age to shop Medicare anything.

Some advantage policies give you $1200/year to buy OTC meds etc. (I learned this at book club lol). It’s a benefit that can be taken away at any time.

 

[klpca]

CA estate tax is 0
WA starts at 3mm/pp
OR starts at 1mm/pp

That last one shocked me when a client couple moved there in retirement - then one of them died, and it was a large estate. Oof.

 

[Snazzylass]

During open enrollment, there were a ton of commercials for what I assume were Medicare Advantage plans (“Get all the Medicare benefits you are entitled to, call now!”). The big thing was “the grocery card”, worth $1200 to spend at Walmart, drug stores, etc. What is up with that? Seems like you’d have to be paying more than the monthly “grocery benefit” or those were scammers. Two neighbors say, oh no, we had a card they loaded money onto evey month. Doesn’t sound like either of them are receiving that this year but neither has looked into it. I’m just curious, I’m not of age to shop Medicare anything.

Exactly as @klpca described. You are correct. These are bennies of the Advantage plan (Plan C). And who would say "no" to that? Maybe anyone who believes there's no free lunch.

I did have Advantage initially and it came with $40/mo to spend on selected items at CVS. I believe my mother switched to an Advantage plan (after saying she would never do that as a Cancer survivor) and I know she's had a card with benefits to spend. I've been with her at WM where she has made purchase. They do push the free groceries.

Initially, health insurance companies were pushing this product. However, they are not as profitable (duh!) and there is talk that the product will not be as advantageous to consumers going forward. Plus, there's the problem that if one changes their mind later, one may not qualify for a traditional Supplemental (G or N) through Underwriting. Just because it's been great in the past, there's no reason to assume things won't change. My goodness, homeowner's insurance companies are barely covering roofs now and I don't blame them.

I know @Timeshare Von took exception to my 2nd response. However, I initially responded by saying, "I'm glad it's working out for you!"
And, if it's the only option one can afford, it's a darn good option!

 

[klpca]

One last thing with respect to spending your kids inheritance (and imho - you do you with respect to spending your hard earned money). Just make sure that you don't spend everything - so that there is nothing left in the event that you need long term care - even if you have long term care insurance. The costs are staggering and are only going to go up. There's no magic pill to make that cost go away unless you pass quickly. A friend was paying $30k/mo at the end of his mom's life, partially due to the violent nature of his mom's dementia. Apparently there is a blacklist among facilities and she was unable to go back to a facility after her violent outbursts (fair), so she had been placed in a very expensive private care home. So, don't spend *all* of their inheritance!!

We have helped all of our kids buy homes, and plan to leave the bulk of our estate to them unless long term care takes a chunk (and that is what it is there for after all). We aren't going to live like paupers but we're not going to start living differently just because we're retired either. If they inherit the estate and spend unwisely, I will come back and haunt them and they will regret it.

 

[WinniWoman]

One last thing with respect to spending your kids inheritance (and imho - you do you with respect to spending your hard earned money). Just make sure that you don't spend everything - so that there is nothing left in the event that you need long term care - even if you have long term care insurance. The costs are staggering and are only going to go up. There's no magic pill to make that cost go away unless you pass quickly. A friend was paying $30k/mo at the end of his mom's life, partially due to the violent nature of his mom's dementia. Apparently there is a blacklist among facilities and she was unable to go back to a facility after her violent outbursts (fair), so she had been placed in a very expensive private care home. So, don't spend *all* of their inheritance!!

We have helped all of our kids buy homes, and plan to leave the bulk of our estate to them unless long term care takes a chunk (and that is what it is there for after all). We aren't going to live like paupers but we're not going to start living differently just because we're retired either. If they inherit the estate and spend unwisely, I will come back and haunt them and they will regret it.

I have to keep reminding my husband of this. Plus not for nothing, but people keep saying spend all your money, but I’m not one to spend money for money’s sake. Honestly I have no voids to fill. I’m practical, but I’m also very content.

 

[geekette]

I have to keep reminding my husband of this. Plus not for nothing, but people keep saying spend all your money, but I’m not one to spend money for money’s sake. Honestly I have no voids to fill. I’m practical, but I’m also very content.

Oh heck no, Spend Everything has never been my way, wouldn’t suggest for anyone of any age. We don’t know when our last day is, and I’ve always feared being old and poor. I agree on post higher up about possible sky high end of life costs. We just don’t know.

Content is a nice place to be, my needs are few and wants are modest. Also cheap by nature, the “shopping gene” doesn’t seem to run in our family. Sure, there are a few things I’d want if I could justify the expense but I kind of like having wants that may never become haves. There are voids here, but gotta fill them slowly. Dishwasher and washer/dryer are easily justified but last owner morphed this place oddly so it’s not just pop em in, it’s destruction and construction and we know how that goes: always gonna cost a lot more because some unexpected Something. Hoping I’ll have enough set aside before end of year and get that crap done. More content after that.

 

[amycurl]

Gen Z are mostly the children of Xers, not Boomers. There are two generations between Boomers and Zoomers….but whatever.


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[TolmiePeak]

Actually my friends just moved to Seattle from California. They figure they save on paying state income tax by moving there. Individually they have more than $3M, and they chose not to be married for financial reasons. She is 81 and he is 73.

Sure but then they will find out the cost of living is higher in Seattle.

 

[WinniWoman]

Oh heck no, Spend Everything has never been my way, wouldn’t suggest for anyone of any age. We don’t know when our last day is, and I’ve always feared being old and poor. I agree on post higher up about possible sky high end of life costs. We just don’t know.

Content is a nice place to be, my needs are few and wants are modest. Also cheap by nature, the “shopping gene” doesn’t seem to run in our family. Sure, there are a few things I’d want if I could justify the expense but I kind of like having wants that may never become haves. There are voids here, but gotta fill them slowly. Dishwasher and washer/dryer are easily justified but last owner morphed this place oddly so it’s not just pop em in, it’s destruction and construction and we know how that goes: always gonna cost a lot more because some unexpected Something. Hoping I’ll have enough set aside before end of year and get that crap done. More content after that.

And as time goes by and we continue to age our home is going to need more big maintenance and most are things we cannot do. It’s only 6 years old, but we already need to replace glass in a window ( gas leakage), the interior of the house still has the builders crappy paint and the garage only has primer. We have wood siding on the exterior and I see a tiny bit of paint has chipped away in spots. We’ve chose to upgrade our security system with a fire alarm direct to central station since the fire dept disconnected our neighborhood from the one they had directly tied into us. $$$

We’ve already had to replace the dishwasher and the chest freezer in the garage. Had to hire someone to soft wash the exterior, including the windows. Soon we will need some new furniture as we brought our furniture from our other home here.

Let’s face it, always something with a house, even small ones. And it’s thousands of $$$$.

Did I mention our cars are 2013 and 2016? At some point we will also need a newer car.

 

[ScoopKona]

Gen Z are mostly the children of Xers, not Boomers. There are two generations between Boomers and Zoomers….but whatever.

"Those danged Millennials with their skateboards, avocado toast and Pokemon!"

Meanwhile, the Millennials are driving their youngest child to university preview tours.

 

[VacationForever]

Sure but then they will find out the cost of living is higher in Seattle.

You haven't been to California. They have been living in Seattle for almost 10 years now and moved into their 2nd home last year.

 

[geekette]

And as time goes by and we continue to age our home is going to need more big maintenance and most are things we cannot do. It’s only 6 years old, but we already need to replace glass in a window ( gas leakage), the interior of the house still has the builders crappy paint and the garage only has primer. We have wood siding on the exterior and I see a tiny bit of paint has chipped away in spots. We’ve chose to upgrade our security system with a fire alarm direct to central station since the fire dept disconnected our neighborhood from the one they had directly tied into us. $$$

We’ve already had to replace the dishwasher and the chest freezer in the garage. Had to hire someone to soft wash the exterior, including the windows. Soon we will need some new furniture as we brought our furniture from our other home here.

Let’s face it, always something with a house, even small ones. And it’s thousands of $$$$.

Did I mention our cars are 2013 and 2016? At some point we will also need a newer car.

Indeed, Home Sweet Money Pit! But, owning vs renting, no question for me. I like it being Mine to do what I want. It’s fun being at the start of that but overwhelming. This place nearly 30 years old so major maintenance gonna strike sooner. Metal roof and new big gutters done. One big thing done that should last as long as I do.

 

[TolmiePeak]

You haven't been to California. They have been living in Seattle for almost 10 years now and moved into their 2nd home last year.

Eating out in Seattle is more expensive than LA or SF.

 

[VacationForever]

Eating out in Seattle is more expensive than LA or SF.

If you do a search of US cities with highest cost of living, Ca has top 8 out of 10 with NY taking the other 2, and Seattle didn't even make the top 20 list.

https://realestate.usnews.com/places/rankings/most-expensive-places-to-live

 

[ScoopKona]

Indeed, Home Sweet Money Pit! But, owning vs renting, no question for me. I like it being Mine to do what I want. It’s fun being at the start of that but overwhelming. This place nearly 30 years old so major maintenance gonna strike sooner. Metal roof and new big gutters done. One big thing done that should last as long as I do.

This is how I attack projects as well. "It should last longer than I do, so I don't have to deal with this ever again."

 

[Talent312]

Home Sweet Money Pit! But, owning vs renting, no question for me...

There is so much of 'me' that I've put into my house...
That, even though living alone in a big house is kinda silly,
It's now a part of my identity.

 

[AnnaS]

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[Timeshare Von]

You are very fortunate to have an Advantage plan that is a PPO, or at least has the best features of a PPO. These are not widely available. In my county, there were none at all until a few years ago. Now there are ten, from UHC and Humana mostly. Still, the smallest out-of-pocket maximum is almost $7k, and the largest is twice that. A Plan N annual premium is about $2500 this year for a 76-year-old.

We always try to warn people about HMO plans, as their limited network and referral rules are dangerous. DW was a mental health counselor who had more than one patient die because her referral was delayed until it was too late.

Thanks . . . and medical providers + insurance is a large part of our rationale for not moving away from Milwaukee in retirement. Our max out-of-pocket is $4,500 per person/year, which we recognized as significant as compared to other parts of the country. And when we went on this plan, all of our preferred facilities and doctors were in network, so no changes necessary. Truly the best of both worlds for my DH & me.

 

[Timeshare Von]

We have many friends that are on an Advantage Plan. They all like the zero deductible and the local providers. I think most people choose an Advantage Plan over a Plan g. The only reason we went Plan g was that to get on Plan g later we would go through underwriting and I probably wouldn't be approved with pre-existing conditions.

Bill

And the *RISK* of having to go through underwriting is significant. With advantage plans, we didn't have to and won't . . . unless we opt to leave it and then go a supplemental plan. That is waived however, if we were to leave Wisconsin and therefore had to leave this plan. Fingers crossed we won't find ourselves in that situation, DH & I both have a laundry list of pre-existing conditions.

 

[Timeshare Von]

okay, we are talking about 2 different coverages. Your Advantage plan is a type of Supplemental which provides coverage in addition to Medicare B alone. I am comparing the Advantage Plan to say, I believe G which I currently pay $195+ a month in addition to $202 or so for B. G is the supplemental which offers more flexibility and less Pre-Authorization requirements (possibly none). Hope that helps!

And, seriously, for all the Tuggers who see the value in buying their T/S second-hand, I am shocked that anyone would believe they are getting something for nothing from an insurance company (the bonus perks of $1100/yr vs paying a premium. Clearly, we are not comparing apples to apples). The biggest commercial RE bldgs are owned by Insurance companies. There's a whole profession devoted to their profitably - actuarial science which only takes the brightest students, the cream of the crop.

Here's the thing about insurance: you never know what you bought until you go to use it.

@Snazzylass this was your comment that I found condescending . . . implying I didn't know what I had or that I was somehow ignorant given my choice to go to an advantage plan.

AND . . . I/we could afford to purchase supplemental insurance . . . but we opted not to spend money unnecessarily for a lesser quality insurance policy.

 

[SusanRN]

My Dad died at the age of 46 (aortic aneurysm) and my Mom at 57 (COPD). With my genes, I never expected to see 60 . . . and here I am facing 70 in a couple of years. You never know, but I still don't expect (or want to) see 80!

Your genes may be fine, Yvonne, so don't assume. Pay attention to your lifestyle. You may change your mind about 80 as you get closer!
COPD is usually induced by lifestyle, e.g., smoking, or even air polution.
Aortic aneurysm can be genetic and/or related to lifestyle, such as smoking or high blood pressure.

If you haven't had cancer in your family, then think "good genes" *and* healthy lifestyle.
Until my mom died 7 years ago at 93 having had both kidney cancer and breast cancer X2, we had, to my knowledge, not had cancer in the family for at least 3 generations. Of my 8 great-grandparents, all born in the late 1800's, 3 lived into their 90's. I knew them when I was a young child -- so I know I have good genes. I'm not bragging......it is what it is. But lifestyle choices make a huge difference. Except for my father, who quit at 40, they were all non-smokers and Protestant teetotalers. Well, I screwed that last one up, but I usually limited my drinking to one glass of wine after dinner. And when I turned 70 a few years ago I switched to non-alcoholic wine and mocktails because I knew that, in truth, alcohol is a poison to the body and I couldn't justify it at my age.

 

[SusanRN]

I wonder who I inherited from?
My grandmother was one of five; four died in their sixties, one sister lived to 96.
My mother was one of six, she lived to 94 and her siblings passed before age 71
My fathers parents died at age 49 and age 69; he lived to 87.

Who knows? But the earlier deaths could be from infectious diseases, smoking, etc.

 

[rapmarks]

Who knows? But the earlier deaths could be from infectious diseases, smoking, etc.

Nope, neither. Basically heart failure.

 

[SusanRN]

Just saw this today in the NYT in an article about the best way to invest your money in health -- concierge care? supplements?

"Dr. Jordan Shlain, the founder of Private Medical who is considered one of the earliest concierge doctors, said the focus for everyone, regardless of wealth, was similar. 'Putting aside fatal accidents, there are four major causes of death: cardiovascular, neurological, cancerous and metabolic, he said. Your genetics are critical, and they account for 50 to 70 percent of your longevity,' Dr. Shlain said. 'Then you get to these foundation things: sleep, exercise, diet and social nutrition.' "

There you go.

Here's the link for subscribers:

https://www.nytimes.com/2026/04/27/your-money/longevity-wellness-industry.html

 

[SusanRN]

Nope, neither. Basically heart failure.

So sorry.
AI says :
Family history and certain genetic mutations can increase the risk, but lifestyle factors such as diet, exercise, and smoking also play a significant role in its development.
The University of Utah ouhealth.com