- Nov. 2, 2021
-- The American Association for Long-Term Care Insurance launched a campaign targeting small and medium-sized business owners. The effort in conjunction with Long-Term Care Awareness Month is designed to encourage long-term care planning for themselves, key executives as well as employees.
"There are over 30 million small businesses many headed by individuals in their 40s and 50s," explains Jesse Slome, director of the association (AALTCI). "We find a significant majority do not know that the cost of long-term care insurance protection may be fully tax deductible as a business expense."
Slome acknowledged that federal legislation allows individuals and businesses to deduct some or all of the cost of tax-qualified long-term care insurance. "Each year, the Internal Revenue Service (IRS) announces increased tax deductible long-term care insurance limits available for individuals,"
Slome reports. "The limits can be even higher for businesses, making long-term care insurance one of the most overlooked tax-advantaged planning strategies."
Learn more at https://www.aaltci.org/tax-2022.php
AALTCI noted that linked-benefit long-term care policies that combine a life insurance and long-term care benefit have grown in popularity. "Certain linked-benefit LTC policies meet the tax deductibility rules and can be especially beneficial for business owners," Slome added. "A business owner who purchases coverage at age 55 can benefit from yearly tax deductions and have fully paid-up long-term care coverage at age 65 when they retire or sell the business."
The American Association for Long-Term Care Insurance is a national organization that advocates for the importance of long-term care planning and supports insurance professionals who market both traditional and linked benefit LTC solutions. The organization established November as Long-Term Care Awareness Month to focus attention and create heightened awareness. Jesse Slome is director, as well as head of the American Association for Medicare Supplement Insurance. The organization connects consumers with local Medicare insurance agents at https://www.medicaresupp.org