Navigating Healthcare Costs for Generational Wealth

A staggering 70% of families struggle passing on wealth due to insufficient planning, amplified by longer lifespans impacting multiple generations. Among the critical yet often overlooked aspects in this planning is healthcare expenses. How are families addressing this, and what expertise do wealth advisors bring to the table?

Overlooked in this planning is healthcare expenses, constituting 12% to 25% of household income, especially burdensome for seniors. Family office advisors should consider integrating healthcare planning to reduce financial risks for their clients.

Yet, how adept are family offices and wealth advisors at handling healthcare costs? Despite expertise in legal and tax matters, healthcare often lacks specialized attention. Wealth advisors frequently underestimate costs, especially for mental health or substance abuse treatment, health insurance, and care for those who are aging, leading to potential expense spikes. Bridging this gap requires wealth advisors to collaborate with healthcare specialists.

Healthcare advisors possess specialized knowledge in managing health-related financial risks. They collaborate with financial advisors to develop comprehensive strategies that account for and even model healthcare expenses, ensuring the preservation and growth of generational wealth. They act as a consigliere to not only coordinate care among primary care physicians, specialists, mental health providers, nutritionists, and life coaches but also with other advisors employing a holistic approach—just as a family office coordinates input from tax attorneys, bankers, accountants, and others.

As families seek to secure their financial legacies, it's clear that a comprehensive approach—one that incorporates healthcare planning—is essential. This inclusive strategy safeguards not just financial capital but also the well-being of future generations.

We help individuals and families make smarter healthcare choices to mitigate risk. With nearly 100 years of combined patient care experience, our multidisciplinary team provides top-tier guidance and support, covering physical and behavioral health, addiction treatment, and insurance.

We offer consultative and advisory services in 50-hour retainers for family offices and 12-hour retainers for individuals and families. To learn more, contact us at insights@wellworthadvisors.com or (646) 883-9717.