The Legislature has just passed a bill that will impact many employers.
The current bill will require employers and/or employees to purchase their own private, long-term care coverage before the end of the year, if you wish to opt-out of the state’s plan. Once this date passes there is no other opportunity to opt out.
The eligibility requirements also mean that:
o Those who are close to retirement will pay into the system, but if not vested, may not have the benefit of using it.
o Higher wage earners will be taxed more (everyone pays $.58 for every $100 earned) and not receive anywhere near the return in the benefits provided by the state.
o Regardless of how much you pay into the state’s long-term care trust, you are limited to only $36,500 lifetime maximum allowance.
o This plan cannot be transferred if you move to another state.
The good news is you have time to consider options on your long-term care.
The slide deck was used by Connie Duty, Medicare and Financial Advisor during a Zoom Meeting to discuss all of the ramifications and options employers and individuals have before the opt out cut-off date.