The Genworth Cost of Care Survey has been providing valuable information about the cost of senior care for 15 years. It has become the main point of referral for long-term care planning. The latest Cost of Care Survey provides some eye-opening information for seniors and their loved ones as the cost of in-home care and aging in place is typically more than the cost of assisted or independent living.
Let’s take a look at some of the median costs for elderly care services in the United States.
Annual National Median Costs for 2018
Homemaker services: $48,048
Home health aide: $50,336
Adult day health care: $18,720
Assisted living facility: $48,000
Semi-private room in nursing home: $89,297
If you compare these costs to those reported in the 2015 Cost of Care Survey, you’ll see that prices have gone up across the industry. While it’s not surprising to see the nursing home and assisted living costs per month go up, home health services are keeping pace with the cost increases as well.
Why It Matters
As Baby Boomers continue to age and start looking at long-term care, they need to begin planning now for the future as in-home health care costs are expected to continue to rise.
Even if you are not looking to move into a retirement community now, today is the day to start planning for the future financially. You generally have three options to pay for care: money set aside, long-term care insurance and Medicare. For many, it becomes a mix of options as they sell off their home and liquidate retirement accounts to add to their monthly income.
Cost of care is only one aspect of the financial expenses associated with aging. There are medical expenses, prescription drug costs and even the cost of hiring help to do many of the personal and household tasks you once were able to do on your own.
Understand the Costs of Your Senior Care Options
Begin now to think about the future to ensure that your needs will be met and you can enjoy a higher quality of life. Look at what assets you have at your disposal, what you will have in the future, and estimated costs of care in Federal Way. Look into long-term care insurance and other tools to help you be financially stable when you need more care.
You can visit retirement communities and assisted living centers like Village Green to learn more about the services and features. Talk to someone in the finance office to help you determine cost and options for payment at the different levels of care.
Work with a financial advisor who can help you be prepared for the changes that come with aging. Ask the right questions, such as:
Are assisted living costs tax deductible? Some costs may be tax deductible, and a tax planner would know what to include.
Does Medicare cover assisted living costs? While Medicare doesn’t generally cover assisted living, it may pay for some of the services received when a person is living at the center.
Getting answers to these and other questions can help you know the best course of action to take now to pay for the care you will need one day. Once you have a long-term plan in place, the future won’t seem so frightening.