What You Need to Know About Continuing Care Retirement Communities (CCRCs)

I fear that for many, myself included, continuing care retirement communities (CCRCs) are something that we don’t want to think about. At least not now. I’m healthy overall, working full-time and staying busy with my family. But our children are flying the nest and now might just be the time for me — and you — to start this dreaded, albeit crucial, planning. Moreover, it is important to know your options for aging parents or other loved ones who might be in need of more assistance.

It’s safe to assume you are going to need assisted living at some point in your life, and you should make plans for how you want to receive that care.

As a planner both professionally and personally I think it’s important to consider not just the numbers but also the softer side of choosing a retirement community. There are different types of CCRCs. Weigh the costs and benefits of each type to determine which one will best suit your needs and desires.

There is an entire process for how to choose a retirement community. I encourage you to start this process when you are in your 60s, as the waiting lists are long at many communities.

First, I suggest you review the North Carolina insurance commissioner’s reference guide to choosing a CCRC: ncdoi.gov/documents/continuing-care-retirement-communities/ccrc-reference-guide

When you are creating your list of options, look beyond the marketing materials and review the finances of the organization. The organization’s website is a good place to start your research. Then, for those you gravitate toward, take a complete tour of the community to make sure you see all the levels of care in the community and ensure that they meet your expectations and needs.

Lastly, tax planning can play an important role in the CCRC decision process. Depending on your individual situation, you may be able to make some significant tax planning decisions as part of your move into a CCRC. Your Parsec advisor can review those scenarios with you.

For more information on CCRCs, I recommend this podcast where our Co-Director of Tax Services Larry Harris spoke with Kathy Foster from Asheville’s Deerfield Episcopal Retirement Community: soundcloud.com/parsec-financial/ccrc.

As you consider all this information, talk with your Parsec advisor. They can help you evaluate retirement living options and develop a plan around your individual goals.

If you aren’t a Parsec client, we invite you to learn how we work with retirees.

Terry Redman, CFP®, CPA
Financial Planning Strategist

Share:

Recent Posts:

How To Prioritize Travel and its Associated Expenses

Do you like to travel? Are you already looking forward to your next big trip? Do you spend more time planning your vacations than planning your finances? If so, you’re not alone. Recent surveys suggest that many Americans devote more time each year to planning their vacations than planning their finances.

Can You Afford That House?

An incredibly strong housing market over the last few years coupled with rising interest rates has put affordability out of reach for many home buyers.

Recent Quarterly Newsletters:

Thrive By Doing What You Love Edition

Read our Q4 2022 newsletter where we focus on how to thrive by doing what you love. We provide a “wheel of life” exercise to complete, outline a few end-of-year reminders, and announce our Parsec Prize winners.

Thrive By Ensuring Your Loved Ones Are OK Edition

Our Q3 2022 newsletter focuses on how to thrive by ensuring your loved ones are OK. In it, we have created an eight-page fillable guide you can create for loved ones to follow after you pass. We also provide other guidance on estate planning, caring for aging parents and preparing for a potential disability.

Recent Whitepapers:

Stay Up To Date With Parsec

Sign up to join our mailing list and receive quarterly newsletters, whitepapers, news, and more right in your inbox.
Scroll to Top

Not a Client But want to receive updates?

Please sign up to join our mailing list and receive our latest news, thought leadership content and invitations to upcoming webinars.