Why planning for aged care early makes all the difference

Most people put off thinking about aged care until a crisis hits. By that point, the options on the table are often a fraction of what they could have been with a bit more planning earlier.

We recently sat down with our Aged Care Specialist, Dan Marks, for his insights on planning for aged care.

He shared that out of the last 14 formal financial advice statements our team has prepared for aged care, only one involved a proactive decision to seek advice before care was imminent. That client had attended a community presentation and took action early.

The other 13? Five were in hospital awaiting an aged care bed, three were living with family while waiting for placement, two involved couples where both partners were struggling at home and both were awaiting care, and the remaining clients came to us in similarly pressing circumstances.

The pattern is clear. People plan for aged care after the crisis, not before it. Unfortunately, this can have real consequences.

Three reasons why planning early matters

Planning ahead for aged care means that when the time comes, your preferences are known, your family isn’t left guessing, and your finances are structured to give you the best possible outcome. Here are three reasons early planning makes a genuine difference.

1. It reduces family stress

When aged care decisions are made in a hurry, the pressure often falls on family members who may not know what their loved one would have wanted. Having a plan in place lets your Attorney and your family know how you would like to be treated and what arrangements you prefer. It can also reduce the risk of conflict between family members when emotions are running high.

2. It preserves your choice and control

When care is urgent, the priority becomes finding an available bed rather than the right fit. Planning ahead means your care arrangements, funding strategies, and legal structures can be set up to reflect your personal preferences, rather than being dictated by availability or time pressure.

3. It improves your financial outcomes

Understanding your potential aged care costs early gives you time to restructure assets and income in a way that’s appropriate for your situation. This can help reduce costs, maximise your Age Pension entitlements, and ensure your finances work as hard as they can for you when you need them most.

Don’t wait for the crisis to start the conversation

Aged care planning is one of those things that always feels like it can wait, until it can’t. The earlier you start the conversation, the more options you’ll have, and the less stressful the process will be for you and the people you love.

If you’d like to talk through your aged care options or put a plan in place, we’re here to help.

This article was originally inspired by Dan Marks, our Private Client Adviser here at DP Wealth Advisory. Dan regularly presents to community groups across the region to help people understand the value of planning for aged care before the need arises.