Is buying a home always the right move?

The wildfires currently ravaging Southern California, and their tragic consequences, are reminders of just how exposed we are to natural disasters. If youve been affected by these fires, what steps should you take to begin the recovery process?Once you and your loved ones are in a safe place, consider these suggestions: Contact your insurance company. Call your homeowner's insurance company as soon as you can. You may need to be patient, though, as the company could be swamped with claims. You may also eventually need to contact a legal professional regarding your insurance coverage or your legal rights related to the disaster. Review your financial options. If you have already established an emergency fund containing several months worth of living expenses, you may need to tap into it now. You also may need to access the cash components of your investment portfolio. Seek help from disaster relief organizations. If your home was destroyed or severely damaged, contact the Red Cross or another relief group for help with temporary housing, food, clothing and other necessities. Contact your employer. If you are temporarily rendered homeless, it may well affect your ability to work. Contact your employer to explain the situation, though they will likely be quite familiar with what happened. Depending on where you work, you might even have access to some type of employee assistance program. Photograph and document the damage. If its possible, and when its safe to do so, take pictures of the damage to your home and belongings, and create an inventory of lost or damaged items. You might also have existing photos that can be of use to your insurance company. Go through your documents. Your paper documents bank statements, insurance policies, investment account information may have been destroyed in a fire or other disaster, but you may still have electronic copies on your computer, and they are likely also available online. Go through these documents to determine what you have and what you may be entitled to.  Look for temporary relief measures. In the wake of a hugely destructive fire or other disaster, you may be entitled to temporary relief measures, such as mortgage forbearance, loan deferments or government assistance programs. If you live in a Presidentially Declared Disaster area, you might be eligible for disaster relief from the Federal Emergency Management Agency (FEMA). Visit their website at fema.gov. Evaluate your longer-term financial strategies. Once you have gotten past the short-term emergency period, you may need to review your entire financial picture and long-term strategies. This may involve reallocating your investment dollars, revising your budget or setting new financial goals. If you work with a financial professional, they can help you in this area.Surviving a wildfire may be one of the most emotionally devastating experiences you will ever encounter. But you dont have to go through it alone a team of professionals, including a financial professional, can provide the resources and experience to help get you back on the path toward rebuilding your life.   Chad Choate III, AAMS 828 3rd Avenue West Bradenton, FL 34205 941-462-2445 chad.chaote@edwardjones.com This article was written by Edward Jones for use by your local Edward Jones Financial Advisor.

Considering senior living as the best option for you or a loved one? If youre just beginning, the search can often feel daunting. And knowing where to look for possible financial resources can seem like a mystery.Its often helpful to approach this as a step-by-step process. Answering the following questions can help get you off to the right start: What lifestyle, amenities and services are you looking for? Is help needed for physical or cognitive issues? If yes, at what level? Which of the 4 basic types of senior living listed below would provide the best fit? What is the cost of senior living? What options may be available to pay for senior living? Basic categories of senior livingFollowing are 4 types of communities available: Independent Living: Private residences for older adults to continue living independently and enjoy the activities, amenities and services offered. Assisted Living: Private residences and assistance with the activities of daily living, such as bathing and dressing. Amenities and other social activities included. Long-Term or Skilled Nursing Care: Full-time care by a trained staff for those requiring medical care for rehabilitation or for long-term chronic conditions. Memory Care: Specialized care for those with Alzheimers or dementia, included as part of assisted living, long-term care or in a stand-alone community. The cost of senior livingPrices vary among communities, services offered and locations. Talk to an associate at a specific community to confirm costs. Be sure to clarify what services are included or can be contracted for an additional fee.How to pay for senior livingEach type of senior living may have varying costs and different payment sources available.When you visit a community, theyll provide you with more detailed information about financial options. We also invite you to download our free guide The Dollars and Sense Guide to Senior Living.The following list offers an overview of a few of the financial resources that may be available, as well as options you might not have yet considered. Private money Personal funds are typically used to pay for independent living, the majority of assisted living and a smaller amount of long-term care. Some states do accept Medicaid for certain assisted living costs.Personal resources could include: Cash Checking and savings accounts Salaries, if youre still working Social Security payments Dividends distributed Investment accounts Retirement or pension plans Long-Term Care Insurance Depending on the policy, long-term insurance may cover the cost of home care, adult day care, assisted living, memory care and long-term care. These policies are sold by private insurance companies and other businesses or as additional insurance offered by employers.The cost of a policy is based on the age of the person at the time of purchase, amount of insurance, time period covered, deductible and any special options. Veterans Benefits Veterans or their surviving spouses may be eligible to receive monthly benefits to help cover the costs of senior living if they meet certain income and personal care qualifications. Known as Aid and Attendance, this federal benefit is offered through The Department of Veteran Affairs. It can help pay for care in the home, assisted living or a long-term care community. Life insurance conversions Your life insurance policy may be transferred to a financial account that provides monthly benefits to help pay for home care, assisted living, long-term care and hospice. These funds wont count as an asset in the Medicaid spend down process, described below. Your home Seniors may have equity built up in their home, which can provide a source of funds. If youre moving into a senior living community, selling your home may provide the money you need.Other financial options that your home may offer include: Access to cash through a home equity loan A line of credit based on your homes equity Reverse mortgage which also considers a homes equity. This funding is only available if one of the owners remains living in the home. Renting out your home. If your home is paid for, the rent received could be applied toward senior living expenses. Medicare Medicare is a federal health insurance program and will only pay for long-term care if you require rehabilitative care at home or in a nursing home, for a limited period of time and if you meet certain restrictions. It doesnt pay for general personal care, assistance with the activities of daily living, or room and board. Medicaid Medicaid will pay for long-term nursing facility care but in order to be eligible, you need to qualify for having limited financial resources. If you do have assets, however, you would need to spend them down in order to qualify. As a joint federal and state program, states may offer some assistance with assisted living costs.Considerations when calculating the cost of senior livingPeople often assume its less expensive to remain at home instead of moving to a community. But that may not be true. Look at the big picture when considering the costs of home vs senior living. If your home would need expensive renovations to make it accessible or if you would need to contract for services to come into your home, the costs may be more comparable than you might have thought.But dont forget to account for the non-financial benefits and advantages. If the safety and quality of life for you or your loved one can be achieved more successfully in a senior living community, youll want to consider the tradeoff of any monetary savings.

Now that the calendar has flipped, its time for some New Years resolutions. You could decide youre going to exercise more, lose weight, learn a new skill, reconnect with old friends the possibilities are almost limitless. This year, why not add a few financial resolutions to your list?            Here are a few to consider:            Reduce your debts. It may be easier said than done, but if you can cut down on your debt load, youll increase your cash flow and have more money available to invest for your future. So, look for ways to lower your expenses and spending. You might find it helpful to use one of the budgeting apps available online.             Boost your retirement savings. Try to put in as much as you can afford to your IRA and your 401(k) or other employer-sponsored retirement plan. If your salary goes up this year, youve got a good opportunity to increase your contributions to these retirement accounts. And once you turn 50, you can make pre-tax catch-up contributions for your 401(k) and traditional IRA. You might also want to review the investment mix within your 401(k) or similar plan to determine whether its still providing the growth potential you need, given your risk tolerance and time horizon.            Build an emergency fund. Its generally a good idea to maintain an emergency fund containing up to six months worth of living expenses, with the money kept in a liquid, low-risk account. Without such a fund, you might be forced to dip into your long-term investments to pay for short-term needs, such as an expensive auto or home repair.             Keep funding your non-retirement goals. Your traditional IRA and 401(k) are good ways to save for retirement but you likely have other goals, too, and youll need to save and invest for them. So, for example, if you want your children to go to college or receive some other type of post-secondary training, you might want to invest in a tax-advantaged 529 education savings plan. And if you have short-term goals, such as saving for a wedding or taking an overseas vacation, you might want to put some money    away in a liquid account. For a short-term goal, you dont necessarily need to invest aggressively for growth you just want the money to be there for you when you need it.             Review your estate plans. If you havent already created your estate plans, you may want to do so in 2025. Of course, if youre relatively young, you might not think you need to have estate plans in place just yet, but life is unpredictable, and the future is not ours to see. If you have already drawn up estate plans, you may want to review them, especially if youve recently experienced changes in your life and family situation, such as marriage, remarriage or the addition of a new child. Because estate planning can be complex, youll want to work with a qualified legal professional.            You may not be able to tackle all these resolutions in 2025. But by addressing as many of them as you can, you may find that, by the end of the year, you have made progress toward your goals and set yourself on a positive course for all the years to come. Chad Choate III, AAMS 828 3rd Avenue West Bradenton, FL 34205 941-462-2445 chad.chaote@edwardjones.com This article was written by Edward Jones for use by your local Edward Jones Financial Advisor.