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Money in an HSA is always yours and it stays with you if you change jobs, health care plans, or you retire. Once you are no longer covered by an HDHP you cannot contribute to your HSA, but it remains in place to cover future expenses.
It is everyone’s hope that long-term care will not be needed but according to the U.S. department of Health and Human Services (DHHS), approximately 70% of people who turned 65 in 2020 will require some degree of long-term care services in their lifetime.
Your financial goals also influence your strategy to cover LTC. LTC insurance may provide greater peace of mind, or you may want insurance to protect your assets to leave a legacy to children or a charity.
Overconfident investors commonly, underestimate risks and over- estimate returns. They often also engage in market timing, excessive trading, and premature selling all of which generally lead to underperformance.
Fixed income provides a hedge against stock market volatility and short-term liquidity.
Your asset allocation needs to be aggressive enough to meet your goals but safe enough to avoid anxiety during market fluctuations.