New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

Hearst Corporation Employees: Navigating the Complexities of Extended Care Costs in Retirement

Addressing the potential risks of extended-term care expenses may be one of the biggest financial challenges for Hearst Corporation employees who are developing a retirement strategy.

Seven in ten Hearst Corporation employees over age 65 can expect to need extended care services at some point in their lives. So understanding the various types of extended care services – and what those services may cost – is critical as you consider your retirement approach.

What Is Extended Care?

Extended care is not a single activity. It refers to a variety of medical and non–medical services needed by those who have a chronic illness or disability – most commonly associated with aging.

Extended care can include everything from assistance with activities of daily living – help dressing, bathing, using the bathroom, or even driving to the store – to more intensive therapeutic and medical care requiring the services of skilled medical personnel.

Extended care may be provided at home, at a community center, in an assisted living facility, or in a skilled nursing home. And extended care is not exclusively for the elderly; it is possible to need extended care at any age.

How Much Does Extended Care Cost?

Extended care costs vary state by state and region by region. The 2021 national average for care in a skilled care facility (single occupancy in a nursing home) was $108,405 a year. The national average for care in an assisted living center (single occupancy) was $54,000 a year. Home health aides cost a median of $27 per hour, but that rate may increase when a licensed nurse is required.

What Are the Payment Choices?

Often, extended care is provided by family and friends. Providing care can be a burden, however, and the need for assistance tends to increase with age.

Hearst Corporation employees who would rather not burden their family and friends have two main choices for covering the cost of extended care: they can choose to self-insure or they can purchase extended care insurance.

Featured Video

Articles you may find interesting:

Many self-insure by default – simply because they haven't made other arrangements. Those who self-insure may depend on personal savings and investments to fund any extended care needs. The other approach is to consider purchasing extended care insurance, which can cover all levels of care, from skilled care to custodial care to in-home assistance.

When it comes to addressing your extended care needs, many look to select a strategy that may help them protect assets, preserve dignity, and maintain independence. If those concepts are important to you, consider your approach to extended care.

GenWorth.com, 2022

ACL.gov, 2022

What is the Hearst Corporation 401(k) Savings Plan?

The Hearst Corporation 401(k) Savings Plan is a retirement savings plan that allows employees to save a portion of their paycheck before taxes are deducted, helping them prepare for retirement.

How does the Hearst Corporation match contributions to the 401(k) Savings Plan?

Hearst Corporation offers a matching contribution to the 401(k) Savings Plan, typically matching a percentage of employee contributions, up to a certain limit.

When can employees at Hearst Corporation enroll in the 401(k) Savings Plan?

Employees at Hearst Corporation can enroll in the 401(k) Savings Plan during their initial onboarding period or during designated open enrollment periods throughout the year.

What types of investment options are available in the Hearst Corporation 401(k) Savings Plan?

The Hearst Corporation 401(k) Savings Plan offers a variety of investment options, including mutual funds, target-date funds, and other investment vehicles tailored to different risk tolerances.

Are there any fees associated with the Hearst Corporation 401(k) Savings Plan?

Yes, the Hearst Corporation 401(k) Savings Plan may have administrative fees and investment-related fees, which are outlined in the plan documents provided to employees.

Can employees take loans from their Hearst Corporation 401(k) Savings Plan?

Yes, employees may have the option to take loans from their Hearst Corporation 401(k) Savings Plan, subject to certain conditions and limits.

What happens to my Hearst Corporation 401(k) Savings Plan if I leave the company?

If you leave Hearst Corporation, you have several options for your 401(k) Savings Plan, including rolling it over into an IRA or a new employer's plan, or cashing it out (though this may incur taxes and penalties).

How can I access my Hearst Corporation 401(k) Savings Plan account information?

Employees can access their Hearst Corporation 401(k) Savings Plan account information online through the plan's designated website or by contacting the plan administrator.

Is there a vesting schedule for the Hearst Corporation 401(k) Savings Plan?

Yes, the Hearst Corporation 401(k) Savings Plan may have a vesting schedule that determines when employees fully own the company's matching contributions.

Can I change my contribution rate to the Hearst Corporation 401(k) Savings Plan?

Yes, employees can change their contribution rate to the Hearst Corporation 401(k) Savings Plan, typically at any time, depending on the plan's rules.