Taxes and end of life healthcare. MSN explains why millennials could inherit nothing from their parents.

[i]Photo above - don't be naive. the average nursing home doesn't look anything like this, and it still costs $10,000 a month.
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MSN says our moms and dads let us down). Despite decades of saving and mortgage payments, we (the kids) aren't likely to inherit much. Taxes and elder healthcare will take almost all of it. (see link below)

The healthcare aspect I immediately get. The average nursing home costs $10,000 per month. More if you live in California, New York, New Jersey, Massachusetts, etc. More if the care involves dementia. That's at least $120,000 a year. How much is their social security and pension? My best friend’s mother-in-law has been in a dementia nursing care facility now for a year and half. It sounds morbid, but the kids are watching her 401k and other assets melt away to zero. Insurance doesn’t cover long term care, unless they bought an outlandishly expensive policy specifically for that outcome. If democrats or republicans have a plan to tackle this $10,000 a month end of life tariff, I haven't read about it.

But taxes are evidently where millennials' minds are really going to be blown. Evidently capital gains taxes will prevent them moving into mom and dad's longtime home. The IRA and 401K rules are even more complicated but suffice it to say that almost anything after passing is going to trigger a massive increase in the kids' tax bracket, unless those kids turn out to be millionaires themselves already.

There is SUPPOSED to be $90 trillion (with a T) in accumulated boomer wealth hanging low in their children's benefit. Now everyone is about to discover why our parents rolled their eyes on April 15th, and why they never wanted to go to a nursing home.

I’m just sayin’ . . .

Boomers at 80: The dark reason the great wealth transfer may never arrive

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exchrist · 36-40

Our family has put everything in trust with equal shares held by all three children. The plan is to care for all family members at home for as long as possible. Careful budgeting and travel nurses are unlikely to be necessary but family friends and other supports were planned for. Most of our family friends have similar arrangements with their elders too.

SusanInFlorida · 31-35, F

@exchrist good planning. But how does that defeat healthcare/nursing home inflation?

exchrist · 36-40

@SusanInFlorida healthcare inflation is tied to the U.S economy, imports, employee rights minimum wage etc. that’s a complicated issue.
Family supports help but the costs are only going up. Nursing home cost is minimized by avoiding them for as long as possible

SusanInFlorida · 31-35, F

@exchrist directionally correct. but it's more complicated.

1 - hospitals are like hotels. they hate to have empty beds. its a revenue loss. but whereas hotels cut room rates to gain customers, hospitals simply admit more patients, and for longer stays. whether you were hospitalized with covid 19 had nothing to do with your symptons, and everything to do with the hospital's vacancy rate.

2 - america not only has the most expensive healthcare in the world, we also have the most expensive medical education/degrees. the average doctor graduates with more than $200,000 in student loan debt. some have more than $500,000. i don't know if this means colleges have discovered a rainbow with a pot of gold, but its far different than how the UK handles doctors training.

3 - my aunt went in a nursing home in May of 2025. She had COPD, a brain stent, was on oxygen, and needed a walker just to get to the bathroom. The state medical practitioner said my healthy aunt could no longer care for her, because of the numerous and debilitating conditions. She was admitted to a medicare/medicaid low cost nursing home on a wednesday. on saturday evening she passed away. the official cause of death was COPD/oxygen deprivation. but she'd had these complications repeatedly for years. My aunt simply declined to press the call button for help this time. She missed her pet cat, and hadn't yet firgured out how to use the TV remote in her room. Her only possessions at the time of her death were her clothing and cell phone.

exchrist · 36-40

@SusanInFlorida I agree very complicated issue
In response
1. Hospitals have become primary care nursing homes in many ways. Only in maintaining full occupancy can the ever increasing salary of administrators be paid. It’s almost oligarchy in a way.
2. US is all about “runaway capitalism” profit without sustainable future outcomes. Yes European models of universal university degrees would be helpful. Also I maintain including at least 12 college credits toward a career path during high school would help alleviate the financial burden.
3. The death of a tenant in a nursing home often involves that inhabitants’ life insurance being claimed by the nursing home. I’m sorry but the entire system is a Paul robbed Mary to pay Peter scheme.
Welcome to capitalism in American “end life” care.