A new product is making “reverse mortgages” more affordable. Reverse mortgages typically have high fees, but the new “Saver” reverse mortgage allows borrowers to dramatically lower their upfront costs – as long as they’re willing to borrow a smaller amount. A reverse mortgage allows homeowners who are at least 62 years old to transform the equity in their home into liquid cash without having to move or make regular loan repayments. The homeowner receives a sum

The first of the 78 million baby boomers turned 65 on January 1, 2011, and about 10,000 boomers a day will be reaching that age between now and 2030. If you’re among those about to turn 65, then it’s time to think about Medicare. You become eligible for Medicare as soon as you turn 65, and delaying your enrollment can result in penalties. Medicare consists of four major programs: • Part A covers hospital stays. •

The amount you can deduct on your taxes as a result of buying long-term care insurance has been increased by the IRS for 2011. Generally, you can deduct part of your premiums if the premiums, together with your other unreimbursed medical expenses, amount to more than 7.5 percent of your adjusted gross income. The maximum amount of premiums you can deduct each year depends on your age at the end of the year:   Age Maximum

Nursing home and assisted living costs increased much faster than the rate of inflation from 2009 to 2010, according to a survey by MetLife. The average cost of a private room in a nursing home rose 4.6 percent to $83,585 a year – or $229 a day. The average cost of an assisted living facility climbed 5.2 percent, to $39,516 a year or $3,293 a month. The average charges for home health care aides and adult

The federal estate tax is back in effect as of January 1, 2011. Originally, the tax was to apply to all estates over $1 million, at a rate of 55%. The exact details have been in flux. By the time you read this, there might be a deal in Congress that would raise the limit and lower the rate. However, any such deal is likely to be temporary – which means that the $1 million limit

A growing number of Medicare beneficiaries who are transferred from a hospital to a nursing home are discovering that Medicare won’t pay for the first 20 days of their nursing home stay. Ordinarily, Medicare covers nursing home stays entirely for the first 20 days as long as the patient was first admitted to a hospital as an inpatient for at least three days. But here’s the problem: A lot of people are discovering that there were

A new U.S. government report warns that a number of “continuing care retirement communities” are facing financial problems, while regulation of these facilities is spotty. Continuing-care communities offer an entire continuum of care – from independent housing to assisted living to round-the-clock nursing services – in a single facility, with the goal of allowing residents to age in place.

Moving can be stressful for anyone, but it’s particularly stressful for seniors. On top of hiring movers, packing, and setting up a new home, there is the emotional toll of leaving a house the senior may have lived in for decades. If a move seems overwhelming, a “senior move manager” may be able to help.