The Elements

By Ironstone   |   October 18, 2016

3 Tips on Successfully Planning for Your Client’s Longevity

Categories: Elder Abuse, Strategic Planning

Elderly Couple Smiling

Here’s a real dilemma for a wealthy 87 year old woman whose situation is secure but is causing family conflict.  She needs full-time care, long term.

  • Her financial advisor, together with the bank trustee managing her assets, used calculation tools to figure out how to make her assets last for her lifetime.  Somehow they failed to anticipate the actual cost of caring for an elder with physical conditions and illnesses that require 24/7 care.  This is a woman with advanced cardiac disease who had open-heart surgery.
  • Her daughter, who is a professional, left her self-employment to care for her mother full time. The caregiving daughter wants some compensation from mom’s millions. She indeed deserves it.
  • The life expectancy the trustee and advisor chose as a basis for determining how long her assets would need to last was 100 years of age.  Given her medical issues, no doctor treating her would agree with that estimate.
  • While cash is being drawn down monthly for her essential expenses for care at her daughter’s home, no one calculated the cost to her daughter who is losing a six-figure income by providing the needed care.  Being with her daughter is the mother’s preference and her daughter is taking excellent care of her.
  • The brother, who is eager to get his “share” of an inheritance, is hovering around the trustee demanding to know how much is being spent to care for mom and why the caregiving sister should get compensation to make up for her income loss, even partially. He resents his sister for asking for compensation for caregiving.

What could you, as an advisor, do to prevent or mitigate family conflict like this when planning for an aging client’s future? 

Advisors, here are 3 critical tips for elderly longevity plans:

1)  When using tools to calculate life expectancy, you must take into consideration your client’s medical condition. Get real data from your client or from involved family. Update your information and calculations as age takes its toll. Health generally declines in old age.

2) Take into consideration that about 70% of people today will need long-term care at some point. In the client’s case described above, the minimum cost of care for her is $12,000 a month. That does not include bookkeeping, a driver, or medication management. That figure covers a full-time, 24/7 non-medical home care worker only.

3) Assume that if your client has adult children willing to provide care, a wealthy client can and should compensate the caregiving adult child. What is “fair” should be based on market rates for service provided and the cost of what the adult child has to give up, such as quitting a job.

Calculation models may be inadequate to build in these details. The smart advisor will use good sense and knowledge of every client’s needs and preferences to adjust planned drawdowns to meet those needs.



Carolyn Rosenblatt is an R.N., B.S.N., Attorney and Mediator, with over 10 years in nursing and 27 years in legal practice. She has extensive experience working with both healthcare and legal issues of elders. She retired from litigation to become a consultant and mediator at, serving as an advisor to families with aging loved ones.

In the course of advising families about the problems of getting older, Carolyn and her husband, Dr. Mikol Davis, Ed.D, became aware of the information gap in the financial services field. From their observations and concerns about this information gap, Aging Investor was formed.


Practice Management

Ironstone is a learning and development consultancy with business acumen that translates across many industries. Our focus is on practice management strategies in order to enhance and improve both business and personal life. We support professionals who want major and comprehensive improvements that look at all aspects not just an isolated area for change. Ironstone has identified 4 key performance areas known as the Fundamental 4™, which are required to design, develop, and sustain a successful business.

Leave us a comment, get our blog posts delivered by email, or email the Ironstone Team.

We would love to hear from you!

  • This field is for validation purposes and should be left unchanged.


Andrea Schlapia
Organizational Development and Human Capital
Connie Deianni
Mentoring and Employee Engagement
Guest Blogger
Practice Management
Dr. Heidi Maston
Organizational and Educational Leadership
Joe Kuhns
Strategic Partner
Judith Bowman
Business Protocol
Laura Garfield
Idea Decanter Co-Founder
Marsha Schechtman
Strategic Partner
Mighty 8th Media
Strategic Partner
Nicole Anglace
Special Projects
Ruthann P. Lacey, P.C.
Elder and Special Needs Law
 Scott D. Calhoun
Legal Counsel
Sharon Gottula
Idea Decanter Co-Founder
Strategic Partner
Practice Management


Thanks for your inquiry!

We will be contacting you shortly. In the meantime please feel free to connect with us on social media and explore our blog posts.

Ironstone understands the importance of protecting your privacy. We will not sell, rent or give your name or address to anyone.

Latest Blog Article

Business Dining Tips: How to Wine and Dine Your Way to the Deal 

Advisors and business professionals at all levels have long-held the notion that wooing prospective new hires and closing a deal over lunch is extremely effective. However, I am thrilled to tell you there is now evidence to support this belief, according to Lakshmi Balachandra, a Harvard fellow. Inside the Dining Research Ms. Balachandra’s work subjected […]

Read More>