Many say it’s utterly heartbreaking when children must care for parents who can no longer recognize them. As people age, one of the biggest fears they carry is the possibility of developing dementia and becoming a burden to their families.

So far, research has shown that the onset of dementia is not related to one’s health, education level, intelligence, or wealth. The fact that even highly capable and influential individuals like former U.S. President Ronald Reagan and former U.K. Prime Minister Margaret Thatcher suffered from dementia in their later years makes the condition all the more frightening.

Statistics clearly show how serious dementia has become on a societal level. In the U.S. alone, in 2019, one out of every three seniors died with Alzheimer’s, making it the sixth leading cause of death. As of 2021, more than 6.2 million Americans are living with Alzheimer’s, and one in nine Americans aged 65 and older is affected by it.

As mentioned earlier, there’s no way to predict who will develop dementia, and while its occurrence is high, there is still no cure, only medications that may help slow its progression. A more serious concern is the cost of caring for someone with dementia. Compared to diseases like cancer or heart disease, the cost of caring for a dementia patient is significantly higher, and the reason is quite understandable.

Dementia patients often need help with every aspect of daily life: eating, dressing, bathing, and using the restroom. They may even require 24-hour supervision to prevent them from harming themselves or wandering off.

According to statistics, the average cost of dementia care over five years exceeds $280,000. Yet Medicare only covers care for the first 20 days under certain conditions. Starting on the 21st day, a high personal co-pay begins, and even then, coverage only extends to a maximum of 100 days. After that, all care costs must be paid by the patient or their family.

Separate from treatment expenses, if a patient enters a specialized dementia care facility, monthly costs can exceed $10,000. Over five years, this adds up to more than $600,000. If you’re wealthy, you might be able to cover the costs yourself. If you’re poor, the government may help. But many middle-class families fall into a gap—unable to afford care out-of-pocket, and often unaware of the benefits they might qualify for due to common misconceptions.

Families who can’t afford professional caregivers or specialized facilities often try to save money by providing care themselves. But this frequently results in family members losing their jobs or falling ill from the stress.

A Long-Term Care Asset Protection Trust is a useful estate planning and asset protection tool that helps people qualify for government benefits without having to spend down all their assets first. The Medicaid Long-Term Care program is not just for the poor—anyone who meets certain conditions may qualify. That’s why it is highly recommended to consult with an experienced attorney to determine whether this type of trust is appropriate for your situation when planning for potential dementia care.