The 2010 price index for paying for the “12 Nights of Christmas” rose 9.2%.  http://content.pncmc.com/live/pnc/microsite/CPI/2010/index.html Wow!

How can those who are no longer receiving a paycheck and relying solely on social security (no rise for the past two years, and the horizon does not look great for an increase any time soon!) and investment income content with these increases?

Here are a few unconventional thoughts.

1) Find support in numbers.  Living alone?  You have to face all of the expenses and unseen bills by yourself.  Join with 20 of your close friends, 100 of your close friends and their friends (http://www.beaconhillvillage.org/ ), or maybe 2000 people you do not know that well but you know you share a common goal.    With the power of many multiple shoulders suport an expense increase.  Such is the power of the economic law of economies of scale http://en.wikipedia.org/wiki/Economies_of_scale In summary, the buying power of many is stronger than one.  This is a HUGE reason why lifestyle communities for those 55 and better (more commonly known as “retirement communities”) are a good option in a down economy.  The same holds true for assisted living communities where multiple people benefit from having the skills of trained health professional, but share the expense.

2) Barter away.  Have a talent?  A product?  A service?  You never known what value you may bring to the table until you bring yourself to the table.  If money is not an option, use the currency of time.  Cook, clean, garden, tutor, and the list goes on and on.    http://planetgreen.discovery.com/tech-transport/online-bartering-websites-tips.html

3) Stop giving it away!  Though seniors represent 12% of the U.S. population, they represent nearly 3x that amount in those who were the victim of fraud resulting in billions taken.  Those who were raised in the 30s, 40s, and 50s, are seemingly more trusting, and criminals are taking more and more advantage.  There are lots of tips available, http://www.fbi.gov/scams-safety/fraud/seniors, but this topic needs to be discussed again and again and considering the depths of those impacted, we need to ensure that people know THEY ARE NOT ALONE.  Shame or pride is often a factor in keeping seniors from reporting fraud.  The more people realize it is a real issue that nearly everyone will face, the sooner we can move to helping more and more people avoid the unfortunately pitfalls of becoming a victim.

Five golden rings may have increased in price by 30% over 2009, but with support, bartering, and keeping money out of the hands of fraudsters, 2011 should be a year where the lords can keep leaping, and the drummers drumming while seniors save cash along the way.

Have a review to share about a senior care or housing provider, please help others with your rating and review at www.seniorDECISION.com.  It is a free consumer site and will take just three minutes to post a review.  Thank you!

With the holidays around the corner, food is about to take center stage.  Who will bring the pecan pie?  Who will bring the always interesting jello infused with coconut, celery, and a mystery nut?  

Living at a lifestyle community for those 55 and better?  Assisted living community?  A long-term care environment?  What is on the menu this Thanksgiving?  What about on a daily basis?

If communities dedicated themselves to using foods that are known to support long and healthy life-style, do you think more people would consider them as a future home? 

It is time that chefs determine how to make dark chocolate and wine appeal to the masses (very controversial, or maybe not). According to studies, these along with some other favorites like coffee have shown to be helpful in extending long and healthy lives. http://www.webmd.com/healthy-aging/nutrition-longevity-10/longevity-foods  Also on the menu:  nuts, berries, fish, tofu, and several other selections that can be brought together in a way that provides healthy variety.

When I first began working at an assisted living community, a decent amount of research came out that vitamin E was shown to help with retaining brain function. http://www.huffingtonpost.com/2010/11/20/alzheimers-food-for-thought_n_786126.html#s187071

I spoke with the operation team, and although there was vitamin E enriched juice and options available, the additional expense was thought too much.  However, I believe that companies can really differentiate how they serve their markets by showing leadership when it comes to dining choices that enrich brain function.  I would pay extra to a company who provided this type of dining approach, would you?   

Equally important during the meal is the ability to have a sense of choice.  Sure, I have ordered the same drink for the last six months, but there is psychological value in being asked my opinion.  And maybe, just maybe, you can encourage me to try that orange juice and cranberry mix this time. 

Wishing you well during the holidays!  If you can, make sure to give an extra smile, take an extra minute to say “hello” to a neighbor.  These small gestures may catch on and make the world around that much more pleasant.

Several years ago I visited my great aunt in Florida.  She exemplified successful aging to me as she always brought a smile to those she came across.  We opted to go out for dinner and she said she would drive.  After a little bit, I had the sense that she might be lost on our way to the restaurant, but we eventually made it, enjoyed our meal, and made it back.  What I suspected at the time, and after spending years in the senior care and housing industry can confirm, is that she was contending with a failing memory.  However, because she stayed in a familiar area and traveled short distances, she could compensate for the loss that was elevated through her aging process.

Today, the Federal Government’s requires road signs be easy to read even for older drivers.

Car manufacturers are creating automated vehicles that can drive and park themselves.

And according to a recent AP News article that quoted Joseph Coughlin, head of the Massachusetts Institute of Technology’s AgeLab, we have a “mobility gap” to contend with given the Baby Boomer generation.  According to Coughlin, “For many, our homes will not be just a place to age, it will also be house arrest.” AP Article on Boomer Drivers

For my Grandma Lee, the one who influenced the founding of seniorDECISION.com, driving was one of the biggest factors or retaining her independence.  After an accident, she was in a situation where she could no longer drive on her own, and the process of coordinating cabs and relying on friends and family was quite a lifestyle change.  This change was one of the reasons she agreed to make a move to retirement community.  She did not want to become a hermit in her own home.

As a society, there is a need to engage the likes of AAA and AARP and see if we can develop tools that support a society of aging drivers.  If drivers are frustrated today by someone who is wise in years but slow in the lane, as the Baby Boomers come of age, these frustrations are likely to grow.

Today we have HOV (high occupancy vehicle) lanes.  Tomorrow should we invest in road systems that accommodate for eyesight that is failing; reaction times that are slowing, and a myriad of other age related changes?  I think it is a must.

For my great aunt, the key was staying close and traveling within familiar surroundings.  This may work for others too, but we need to aggressively pursue new technologies and standards that keep other great aunts and alike enjoying their drive on the road to aging.

My wife’s grandmother lives several months a year on a quaint little lake just outside of Grand Rapids, Michigan.  It is lovely and one of the best places to our mind for a vacation because it is safe; the water is perfect for young children to learn to swim, and it provides opportunities for good scenic exercise as one can walk around the lake.  However, a big change that has taken hold over the last several years is that the small cottages that served mostly as summer get-aways for families decades ago now have given way to monsterous size homes the impede one’s ability to walk around the lake and ultimately change the feel of this quaint little lake.  An issue that arises with the on-set of the baby boomers who are enjoying building these homes is that with the population drop-off that follows the baby boomers, who will be in a position to purchase these McMansions in the future?

With 78 baby boomers and only 44 million in Generation X, the numbers just don’t pencil.

So… what can we do?

One thought would be to convert neighborhoods or areas that have these McMansions into intentional community support zones that can facilitate long-term care and service needs.  If a not-for-profit sponsored the effort, families could donate these homes and benefit from significant tax write-offs.  Then, nice housing accommodations could be offered to health care providers who in turn serve the surrounding neighbors to ensure their health success.  In addition, these well-appointed homes could become official community centers.

As we are faced with an aging society, more and more ideas need to surface and be implemented to ensure that the baby boomer generation is able to enjoy well-earned prosperity.

According to the National Eye Institute, 30% of those 75 or older experience macular degeneration.  Though, only 18% of Americans know that macular degeneration is the leading cause of blindness for those 65 and better according to an American Optometric Association (AOA) survey http://www.aoa.org/x13860.xml.

The AOA submits: “In the years after you turn 60, a number of eye diseases may develop that can change your vision permanently. The earlier these problems are detected and treated, the more likely you can retain good vision.”

In terms of trends, the American Foundation for the Blind’s special report in 2008 indicated that “Experts predict that by 2030, rates of vision loss will double along with the country’s aging population.” http://www.afb.org/Section.asp?SectionID=15&TopicID=413&DocumentID=4423

If awareness and preventative visits to optometrists are important to the individual to attempt to detect and deter vision issues, what can the industry do to accommodate and address the growing needs of those with sight challenges?

First, ask those you serve.  Sure, you are doing well, but how can you provide even a better service or environment to those with vision impairment?  The answers might be simple including re-calibrating communication to using black ink on white backgrounds when sending out flyers or letters; improving the contrast on signs, or staying away from busy carpets.

Second, find a partner with experience.  There are some very helpful organizations such as National Federation of the Blind http://www.nfb.org; American Foundation for the Blind http://www.afb.org, and others with local chapters that can quickly become valuable partners in helping to specialize your service, marketing, and approach to those with vision challenges.  Or maybe you team with the local eye doctor to accentuate your focus on this key topic.

Third, highlight your efforts.  If you are a lifestyle community or an assisted living community and you enhanced your dining program to include foods that are shown to improve sight; or you train your home support personnel as experts in sight relationship management (turn it into “SRM” for more credibility), make sure the medical community and general community know about your focus.

Vision will be the defining aging related circumstance that will drive much of the industry in the coming decade.  Those that engage this issue now will find great success for years to come.

Yesterday in speaking with my 70 year-old cousin he mentioned that he lost so much money in the market and he does not have enough time to make up for the loss.  He is concerned about the costs of home health care, assisted living, and nursing home charges should he need to pay them in the future.  Interesting.

First, just like when I hear people who are hoping to sell their homes today for peak 2007 prices, it reminds me of one of the key lessons my father, a stock broker for 25 years preached:  Until you cash out, you have no cash.

Sure, I had that great stock that shot up to 400% value from its original value, but I never cashed out, so I never realized the value.  Therefore, I had to adjust my expectations just as those in the real estate market need to adjust their expectations.

Second, at 70, the national average for life expectancy is another 16 years for a male (almost 18 years for a female).  Based on history, time is actually on his side.

History Tour of the Dow Jones Industrial Average:

On July 8, 1932, the Dow Jones Industrial average hits a low of was 41.2 points, an 89% decrease from its high of 381.17 on September 3, 1929.  It took until November 23, 1954 to surpass this peak again, or more than 20 years.

In contrast, the market in November of 1972 reached over 1000 for the first time in its history.  Two years later in December of 1974, the market hit 570 points, a 43% drop.  By April 1976, the market is over 1000 again.  Two years this time to make up ground lost.

Come January 2000, the Dow Jones Industrial Average reached an unprecedented high of 11,722.98.  By October 2002, the market slipped backed to 7286.27.  As of October 2006, the market hit above 12,000 for the first time.  It took four years to recover.

In October 2007, the Dow reached a high of 14,164.53, nearly a 100% increase from just five years ago.  In March of 2009, the Dow Jones Industrial Average retreated to 6,763.29, a 52% decrease from October 2007.  By October of 2009, the market went over 10,000 points again, peaking in April of 2010 at slightly over 11,000 points.  This still represents a 22% loss relative to the high in 2007.

By June 29^th, the market found itself at 9870.30 points, a 10% loss versus April 2010.  And as of today October 5, 2010, the Dow Jones Industrial Average stands at 10,944.75, four months to recover.

As history as a guide, it seems the stock market, which benefits from low interest rates as it spurs investors to engage in the market to find more investment income, may well be climbing back once again.  Sure, back in the 1932 it did take 22 years to recoup value, but that was after the market lost 89% of its value.  With 52% being the next largest percentage loss, it is plausible that the market will take less time to recover.

Word back to the Cousin

Okay cousin, it is time to take a deep breath, appreciate that you will be living on average for some time, so it is a good idea to keep with the market and be rewarded for your patience.

In 2005, my wife and I purchased the first edition of the Ford Escape Hybrid.  A friend who worked for Ford indicated that the car was such an important matter for Ford, that although first year editions were typically worth avoiding, this vehicle was worth buying.   Five years later and we are still very much appreciating the buying decision we made.

Now, families face many choices in extended care and senior lifestyle options.  When it comes to assisted living communities or retirement communities is it better to select a new or well-established provider?

Retirement (Lifestyle) Communities /Assisted Living New:

• Provider very interested to start with a good reputation and will often go above and beyond for its residents/customers
• Price incentives may be available as any new provider pro-forma today has a level of incentives/give-aways built in to attract new residents
• Latest technology and amenities should be more readily available
• Appropriately sized apartments for the market available – most likely more square footage for less cost
• Optimum selection available

KEY CONSIDERATION:  Is the owner/management company starting something new or building upon previous success in the same industry?

Retirement (Lifestyle) Communities /Assisted Living Well-Established:

• Experienced staff well-versed in working together to serve the residents
• Financially more defined with a consistent history of cash-flow
• Proven reputation in the general community
• Positive testimonials from historically satisfied residents/customers

KEY CONSIDERATION:  Does the flag of innovation fly high over this provider to ensure the best and latest approaches are adapted for the benefit of the residents?

Want to take a test drive?  You most likely can do exactly that in today’s market. 

For assisted living locations, ask to participate in a respite (temporary stay) to get a feel of the community.

For a retirement community, ask to spend a long weekend or a few days during the week at the location.

Enjoy the ride!

Net worth dropped for Americans by $1.5 trillion in the second quarter of 2010.  Accordingly to Reuter’s reporters, “During the financial crisis that wracked the country from 2007 to 2009, trillions of dollars in housing and financial market wealth was wiped out and heavy household and financial sector indebtedness was exposed.”   http://news.yahoo.com/s/nm/20100917/us_nm/us_usa_fed_wealth

This combined with the circumstance that only 46% of Americans say they are putting aside savings, and the future of senior care and housing may come in to questions.   http://www.retirement-usa.org/retirement-crisis-what-americans-believe-0#_edn5

Winners:  Well-established continuing lifestyle communities (commonly referred to as continuing care retirement communities) with strong financial histories who offer future residents a comfort in that once they move residents will contend with one cost that may fluctuate around 5% for the year, keeping variable housing/energy costs at bay. 

Winners:  Family care givers.  More and more family members will weigh the benefit of working a full-time job and paying someone else to care for a loved one versus devoting time themselves.

Winners:  Home modification industry.  By necessity, more and more families will look to ways they can modify their homes to keep loved ones who might traditionally live in a specialized community setting. 

Losers:  Traditional nursing homes.  How will a nursing home justify its annual average price tag of $79,935 per year?  These locations will need to clearly focus on specialization in a way that potential residents and family members automatically realize “Oh, I could never do that by myself so this place is well worth the expense.”    http://www.metlife.com/assets/cao/mmi/publications/studies/mmi-market-survey-nursing-home-assisted-living.pdf

Losers: Traditional assisted living communities.  As assisted living industry in many markets competes against nursing homes by trying to provide more and more enhanced services, they too will have to justify residents paying $37,572 annual average price tag per year.  What unique service or feature will be offered to ensure that customers understand the value of this decision?    http://www.metlife.com/assets/cao/mmi/publications/studies/mmi-market-survey-nursing-home-assisted-living.pdf

Ultimately however, many Americans will be hard pressed to afford any external care or housing alternative given the circumstances of the economy combined with the lack of savings.  Where to turn?

A glimpse at child care may provide an answer:  co-operatives may become a trend of the future.  Here, a licensed and experienced care provider supplements their operation with various family members throughout a week to help drive labor expenses down. 

Another possible solution:  Community-based purchasing ala the Beacon Hill model near Boston, MA.  Here, neighbors came together to pool their resources and find professional services that meet the needs of the community.  However, the costs are shared proportionally.  http://assets.aarp.org/external_sites/caregiving/multimedia/CG_BeaconHill.html

Want to live in the best place to retire?  How about a place in Baltimore County known as West Towson?  According to America Online, it is the top choice for those 65 and better because of factors in the survey that included: the number of residents over age 65, concentration of highly-educated residents, and low incidences of crime and diverse housing options. http://www.explorebaltimorecounty.com/news/105357/senior-moment-towson-area-named-best-nation/

Or, what about a place to raise a family?  Head over to Ellicott City, Maryland in Howard County.  According to Kiplinger.com, “Ellicott City is exemplary of a ring of great communities surrounding Baltimore that combine family-friendly living with proximity to big-name employers and attractions for kids.” http://realestate.yahoo.com/promo/10-great-cities-for-raising-families.html

And from Money magazine’s point-of-view, Columbia, Maryland and Ellicott City, Maryland rank number two in terms of the best small towns to live.  http://money.cnn.com/magazines/moneymag/bplive/2010/snapshots/PL2419125.html

At the same time, Bethesda, Maryland in Montgomery County made the Top Earning Town in the Country as it relates to the best place to live http://finance.yahoo.com/career-work/article/110052/top-earning-towns?mod=career-worklife_balance

A comprehensive study showed that a focus on education is at the heart of Maryland’s success.  In each of the articles above, there is talk of the scholastic promise of the award-winning areas. http://www.washingtonpost.com/wp-dyn/content/article/2009/01/07/AR2009010702347.html

In terms of retirement living, author Warren Bland states: “College towns are becoming more popular than they were 10 or 20 years ago.  They offer a wide range of amenities, typically without air pollution, traffic congestion, and high crime rates often found in larger cities. And the cost of living is much lower in smaller college cities.” http://health.usnews.com/health-news/best-nursing-homes/articles/2010/08/25/retirement-communities-101-seniors-flock-to-college-towns.html

Towson, Maryland is located in close proximity to Towson University and Goucher College.  Ellicott City, Maryland is one exit away from University Maryland Baltimore County and Community College Baltimore County.

Additionally, Maryland is the only state that each year conducts a: Nursing Facility Family Experience of Care Survey, where the state assesses the experience of the family of residents who resided in the nursing home for at least 90 days and asks a key question: whether they are willing to recommend the provider in question. http://mhcc.maryland.gov/consumerinfo/nhguide/satisfactionsurvey.aspx.  This is one of the main ways that Maryland focuses on raising the bar in regards to customer service within eldercare.

It is hard to judge where to live in retirement, as it is difficult to decide where to move your family at any time.  Many websites, magazines and studies provide recommendations, which can be helpful yet impersonal.  Some states, such as Maryland, even provide consumer reviews of facilities, which personalize the search process. Websites like www.seniorDECISION.com provide consumer reviews of senior care and housing across the country. Instead of being daunted by this huge decision, utilize the various recommendations and reviews offered by a multitude of sources to narrow down your choices and make a more informed decision.

Want to live longer?

According to Dr. Patricia Boylehttp://www.businessweek.com/lifestyle/content/healthday/627835.html?chan=top+news_top+news+index+-+temp_lifestyle, a neuropsychologist at the Rush Alzheimer’s Disease Center and an assistant professor of behavioral sciences at Rush University Medical Center in Chicago. ”…if you find purpose in life, if you find your life is meaningful and if you have goal-directed behavior, you are likely to live longer.”

Did you know dreams continue beyond the age of 35?  Want proof?  When I started into the senior living industry it was with Brightview Senior Living.  The company had six communities with most of the focus on assisted living and dementia care.  One community that stood out, and really the person that stood out, was the Activity Director at Brightview of Bel Air.  A hairdresser by trade, she engaged the residents (including in the dementia neighborhood) in a way few others can – with a focus on dignity, respect, and the belief that even people living in an assisted living community could thrive, not just survive.  This passion played out in two significant ways:  1) she challenged herself and her community to find the dream left unmet for each of her residents and then she would creatively find a way to make that dream a reality  2) she sparked a group of residents to form a singing group that eventually cut a CD and sang the national anthem at Cal Ripken Stadium for a minor-league baseball team.

People, all people, have or want to re-kindle their sense of purpose.  What is your purpose?  Do you have the key to helping someone else re-kindle their purpose?  If so, use it!