Understanding the costs involved is critical in determining if assisted living is right for you or your loved one. It includes the monthly base fee, additional fees, and financial assistance options.
Many communities have bundled packages that include various services; determining how the community charges for services, such as medication management, is also essential.
Costs
Assisted living is costly; many families need help finding a suitable facility for their loved ones. Understanding the costs can help you prepare financially for the transition. Typically, seniors who live in assisted living pay a monthly rate that covers their accommodation and a basic level of care. Includes meals, bathing, and help with toileting. Some homes also charge extra for help with specific activities of daily living.
It’s important to remember that assisted living residences are businesses and face the same financial pressures as other retailers and restaurants. For this reason, they may offer price breaks at the end of a month, quarter, or year. It can mean a lower monthly rate or a credit on your community fee.
Fees
Many assisted living communities like Westminster Shores, St. Petersburg use an all-inclusive fee system, meaning that one monthly rate covers housing, meals, activities, and housekeeping. Other services that may be offered but have not been included include medication management and incontinence help.
Generally, Medicare won’t cover assisted living costs because it is not considered a medical expense. However, some private long-term care insurance policies might.
If the facility uses a tiered fee system, ask questions to clarify which tier your loved one will need upon move-in so that budgeting is accurate. Also, be aware of potential add-on services that aren’t part of the basic fee, such as transportation and laundry. They might be charged on a per-service basis. It would be best to ask about any required fees or deposits before moving in, like a move-in deposit or pet fee.
Payment options
As the cost of assisted living varies greatly, finding a way to pay for it can be challenging. Fortunately, there are many options available for seniors. Some may choose to buy long-term care insurance to help cover some assisted living costs.
Others may find a solution with family members. For example, siblings with available funds might pool their money to help a parent move into assisted living. Other options include using a reverse mortgage or tapping into a home equity line of credit.
Most seniors also consider Medicaid for financial assistance. However, it is essential to note that Medicare doesn’t cover custodial care (the type of care provided in an assisted living facility). It’s also worth exploring state-funded programs like PACE or SHIP.
Insurance
Insurance typically is one of many things that come to mind when considering assisted living, but it’s a viable option for many seniors. A policy like assisted living insurance can cover a significant portion of care costs, providing peace of mind and financial security.
Medicare doesn’t pay for the cost of room and board in assisted living, but it does provide benefits that may help cover some of these expenses. Seniors should speak with a qualified long-term care expert to learn more about these options.
Seniors can also consider the assisted living program, which provides Medicaid-funded personal care assistance at private assisted living residences. This program is open to persons with eligibility requirements, including income and asset limits. There is a waiting list for this program.
Long-term care
Assisted living prices are based on the level of care you or your loved one needs. Facilities assess residents regularly to determine their service needs and adjust pricing accordingly.
Finding out what assisted living costs are can be challenging because many places need to advertise their pricing on their websites. Instead, they often require that you call them or fill out a form to get base prices.
It’s essential to understand what factors into the cost of assisted living so that you can plan how to pay for it. You can use retirement savings, home equity, or veterans’ benefits to help you afford this life-changing option. You can also consider other financial strategies that can save you money, such as a reverse mortgage.
