Health care entitlement reform has become a key topic of concern at the national, state and local levels as government are strapped for cash. Pension obligations and a decline in real estate tax revenues will lead to tax increases, most likely in local real estate taxes and other taxes in your area.
Painful conversations, choices and consequences. Cuts in local funding will occur almost everywhere from jobs, pensions and benefits.
What does this mean for senior housing and retirement choices? Three areas of concern come to mind: assuming there is limited or no cash flow other than savings and minimal retirement income for the vast majority of retiring Americans, how much money will come from social security and how much of that will go to pay for housing? On top of living expenses including housing, how much will consumers spend on health care outside government provided care? What’s really left after housing and health care?
Probably not as much as you think!