Financially, times are tough. They are particularly tough for people who are trying to afford assisted living and retirement living. Typically, people have relied on their savings and the sales of their homes. Both of these have suffered in the past years. Most people have lost around 40% from their 401-Ks, and home values have also plummeted. Assisted living facilities average around $3,000 per month, although the cost can spread from $2,500 to $4,500 or even higher for dementia care. Retirement living is less, but with services such as meals, transportation and housekeeping, it can still end up being from $2,000 to $4,000 based on apartment size and services.Obviously, this is too much for someone relying strictly on Social Security alone to afford. There are government programs such as New Choices Waiver (state) and Salt Lake County Alternatives (county) that can help. If the prospective resident is a veteran or married to a veteran at the time of his or her death, there is also the possibility of the Aid and Attendance Pension Benefit. And, if the prospective resident owns a home, there are reverse mortgages. However, if none of these options exist, the only help may come from a future residents family. This is why it is crucial to financially plan for the different stages of life, involve all family members in the planning, and include some contingency plans just in case the economy tanks and takes your 401-K with it.If you're in your 30s, 40s, or 50s, find a financial planner to help you know how you should allocate the money in your 401-K and other money funds so that the risk matches the need. Start a rainy-day savings account and put as much as possible in it. Talk to your family regularly about money and care issues. Make sure that when the need for assistance arises, you're not left unprepared. If you're reading this article, its not too early, no matter what your age.Highland Cove Retirement 3750 Highland Dr., Millcreek, UT 84106 801-272-8226