Did you know 70% of Australians in residential aged care are women?
Have you considered the chance of needing residential aged care sooner than expected?
Today we will have a look at the age profile of Australians in care, and how men compare against women.
Longevity risk and aged care risk.
Good retirement planning should consider your life expectancy.
The life expectancy of the Australian female is 84.2 years, compared to the male of 79.7 years.
However the "average" can be deceptive, and the potential for living well past life expectancy is a growing consideration in Australians considering how adequate their superannuation and retirement savings are, and how much government support they can likely expect.
This is generally referred to as "longevity risk"
What about aged care?
Thinking in terms of averages is as risky for aged care as it is for longevity.
1 in 10 Australians over 70 is in residential aged care
As part of retirement planning, aged care rarely rates a mention. It is something many people may not want to consider amongst talk of how long their superannuation will last.
A closer look at the numbers reveals why you should not only be prepared for living longer, but also for needing aged care sooner than you think.
More than 12% of males in care are younger than 70.
Your average male planning for retirement would probably not consider residential aged care a possibility before the age of 70, yet 12% of Australian men in care are less than 70 years old. 6.5% are less than 65.
While men are more strongly represented in younger age groups than women, the main age group for people in care is where you would expect....
85-89 is the largest group for men and women.
This is the age most people may have in mind when considering the potential for aged care, and the data shows this as the biggest group.
The chart below shows that while this is a large group, Australians in residential aged care come from a wide variety of age groups. Probably wider than people think about when considering their likely need for residential aged care.
What are your expectations around the timing of aged care?
Having an expectation around the average is one thing, but for many people, the need for full time residential aged care is far from average. Are you prepared for this?
The other issue is the urgency. The time from being assessed as needing aged care, to being a resident in a nursing home can be very short. We will look more closely at this data in coming weeks.
Visit your average nursing home, and you will find residents with a wide band of ages. The majority will be women, and the men will generally be younger.
If you are over 70, there is a 10% chance that someone will be visiting you.