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The Act

Last Monday, Governor Jay Inslee signed the long-term care trust act into law. The law aims to help future taxpayers afford the cost of long-term care.

How Will it be Funded?

The law will be funded through a payroll tax of 58 cents on every $100 of income.

How do You Qualify?

After ten years of contributing, workers will be able to access the fund. If a worker happens to encounter an unexpected crisis, they will be able to access the fund after three years of contributing (if they contributed for three out of the last six years). This means the fund brings care to not just the elderly, but to anyone who faces an unexpected illness, injury, or currently lives with a disability.

Once a taxpayer qualifies to access the fund, they will be able to get $100 a day in support which caps at $36,500 for said tax payer’s lifetime. Right now, the act will only aid so much. For instance, someone who needs in-home care for a few hours a week will hit the cap after about two years. Then that person will need to turn to Medicare or another means. The legislation was designed this way to help as many people as possible while also not turning into chaos if everyone makes claims at the same time.

How Can You Spend the Money?

Medicare only aids in medical needs like health aides or nursing homes. With the new law, taxpayers will be able to pay for the same needs that Medicare covers with the addition of things like accessible showers, ramps, etc.


The law will take effect at the beginning of 2022. It is expected to save taxpayers $368 million in 2050 with a net savings of $3.9 billion by 2052.


Bryce Covert’s article expands on the topic.

You can also learn more quick facts from Washingtonians for a Responsible Future.

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