The missing link in LTC planning

Advisors too often focus on numbers, products and legal structures. Meanwhile, the biggest barrier to successful care and retirement planning — human behavior — goes unaddressed.

The missing link in retirement and care planning isn’t only about products or strategies; it’s about people’s mindsets. Changing one’s attitude is the critical first step in transforming a reactive, crisis-driven approach into a proactive and strategic one. Yet it’s also the most difficult step, especially when clients’ family members are resistant to change or unaware of the risks ahead. 

Long-standing habits and emotional resistance often prevent individuals from preparing adequately for care-related events that can devastate their financial well-being. From my years of working with clients, I’ve identified and refined a simple, practical process that begins with shifting attitudes of family members — what I call the “missing link” in care and retirement planning. By helping clients’ family members embrace this mindset early, advisors can guide them toward better decisions, reduce future financial vulnerabilities, and ultimately create a more secure and positive retirement journey.

A lack of understanding and mindset

One of the most impactful tools I’ve developed is what I call the missing link, the behavioral and mindset shift required for successful care and retirement planning.

The missing link in retirement and care planning is not a lack of resources but a lack of understanding, learning and mindset. It’s about shifting attitudes, habits and behaviors from reactive to proactive. 

By taking positive, informed steps in your planning process, you can transform what could be a financially and emotionally devastating event for clients into one that is manageable, secure and even empowering. The true key lies in a gradual yet intentional shift in perspective — from fear or avoidance to preparation and confidence. This subtle change, both individually and within the family or care network, dramatically increases the likelihood of a smoother, more successful retirement and a more positive care experience.

Transforming the personal mindset 

1. Start with non-self-awareness conversations about care that start opening the door to attitude change.

2. Introduce small, manageable steps to develop a positive attitude toward a care event using simple planning tasks.

3. Create positive reinforcement systems — tasks that help reduce the stress of a care event.

4. Share knowledge and resources. Explain how you and your team are building a great plan.

5. The key is making gradual changes that build on existing strengths while creating meaningful connections to family well-being. 

How do we create new habits and behaviors with our clients?

The science of behavior and habit change suggests that habits are formed through a cycle of cue, routine and reward, in which repeated behavior becomes automatic over time. By understanding and altering the mindset environment, setting clear intentions and reinforcing positive outcomes, individuals can effectively reshape their habits.

The new attitudes, habits and behaviors will use resources — products or services — that clients already have but aren’t using. We can employ techniques such as personal conversations and improved communication to help clients develop new habits for care and retirement planning. The goal is to create a multigenerational planning tool that clients will trust and use. This tool will serve as the foundation for acceptance and change in behavior and commitment from family members.

One significant element is often overlooked in developing a plan for care in retirement. This is one of the largest sources of stress for individuals and families, especially when it comes to managing finances during a care event and the risk of running out of money. Our process integrates attitude, behavior and habit changes into the planning process to help clients’ family members successfully navigate care and retirement planning.

I developed this process and used it with my team to shift the approach to proactive care and retirement planning. We involve all family members in the process to ensure a positive, successful outcome. This method has proven more effective than the seminars I conduct. 

Our goal is simple: to shift from a negative, uncomfortable topic — family care events — to a proactive care and retirement planning event. The result is a more successful event, made possible by new attitudes, habits and behavior that contribute to a more successful outcome.

This change in the approach to care helps create a more manageable and effective event, a strategy I also applied in my own personal care plan.

The need for change

Common emotional barriers include fear of losing independence, fear of getting old, reluctance to discuss care events or causal emotional denial. If advisors could develop a straightforward way to change emotional behavior, they could help clients create successful retirement and care plans. 

However, people cannot change unless they are willing to do so or unless they understand how these basic changes can improve their care and retirement situation. Remember, information alone rarely changes behavior; our decisions are influenced more by our environment. 

Three key areas for attitude, behavior and habit change regarding long-term care planning are:

1. Reducing the barriers to planning while amplifying the benefits.

2. Changing the client’s perception of events.

3. Accepting the fact that “it may happen to me.”

These key areas help build a solid foundation for retirement and care plans and are essential in helping clients change to positive behaviors and habits.

Personal experience in care events

From my personal experience managing 10 care events within my family, plus my knee replacement, I have realized that having a well-structured, proactive plan is crucial for avoiding stress and financial loss during a care event.

The first care event I managed was for my grandmother. During this time, my father had a heart attack, which was aggravated by the emotional and physical strain of managing the care event. This experience deeply shaped my commitment to helping families prepare for similar situations and avoid the pitfalls of unstructured care events.

One lesson I learned is that a solid foundation for care and retirement planning is essential. This foundation includes not only the necessary financial resources for care but also a structured approach to dealing with caregiving challenges, from emotional support to logistical and legal issues. This is the missing link that your clients’ family members need to change their behavior and habits.

A well-built foundation ensures that families aren’t scrambling for resources or solutions when a care event occurs. The difference between a well-prepared family and an unprepared one often lies in the level of stress they experience. A structured care plan helps minimize uncertainty and provides a road map for navigating complex care decisions.

Updating the client’s retirement and care plans

After completing the client’s planning process, we review and update their retirement plans. We also begin preparing for the need for a care plan, which helps reduce stress, prevents overpayment for care services, preserves more money and maintains their lifestyle and independence. We begin by helping shift the family’s negative perception of a care event into a positive one, taking it one step at a time.

Using behavioral design to improve care and retirement plans

There are three key concepts in behavioral design that we incorporate into our process.

1. People don’t always act in their long-term best interest. Our choices at the moment may conflict with our long-term desires.

2. Information doesn’t change behavior. Just knowing what we should do doesn’t mean we will follow through.

3. The environment influences our decisions. To change decisions, change the environment.

How to change emotional behavior

Let’s explore four simple techniques for a positive change in emotional behavior and habits:

1. Use simple techniques that don’t overwhelm the client.

2. Avoid information overload.

3. Focus on benefits the client is already paying for but not using.

4. Use the right words. Frame the discussion in the present tense to motivate action. For example, saying “You are getting older” doesn’t work. The correct phrase would be “Here are the things we need to do in the next 30 days to help you prepare.”

Help clients develop new habits

Advisors can guide clients in developing new habits by focusing on practical strategies to plan for the future. These strategies can reduce financial, medical and care-
related costs by addressing emotional behavior early on.