As the United States population ages, millions of baby boomers will require some form of care or support. According to the U.S. Department of Health and Human Services, a significant portion of those who live to be 65 or older will require long-term care. Many families struggle to talk about living arrangements for aging loved ones. Still, planning gives families time to think about their options and make informed decisions before a crisis. The cost of senior living varies widely based on location, the type of care, and the services needed.
Buckner Villas is the premier choice for senior living in Austin, TX. We understand that cost is a significant factor in senior living choices. We created our cost calculator for senior living to help families compare their current living costs with living in our senior community. If you have questions about our cost calculator or want help determining your best options, reach out to our team today. Use our secure online form or call 844.960.5295.
Average Costs of Senior Care in the United States
According to the most recent data from Genworth’s Cost of Care Survey, the following are the average monthly costs of senior living for different levels of care:
- $2552 for independent living
- $4429 for assisted living
- $5250 for memory care
- $7989 for a semi-private room in a nursing home
- $9086 for a private room in a nursing home
These figures are highly dependent on the location of the facility, the size of accommodations, amenities, and the services needed. While the numbers can feel daunting, it is critical to consider that these costs typically include utilities, meals, entertainment, transportation, housekeeping services, and maintenance. Once you consider all of your current living costs and compare them, the numbers make more sense.
For the most part, the services provided at a senior living community cost less than it would cost you to pay for the same services separately at home. Further, the average cost of home health care is $4615 per month, on top of other monthly expenses.
Tips for Financing Senior Care
Whatever your current financial situation, there are numerous ways to finance the move to a senior living community. Most families utilize a combination of options. It is crucial to do the research needed to understand all of your options.
1. The Traditional Approach
The most straightforward way to finance senior living care is direct, using savings, retirement income, pension funds, and investments. Many active seniors continue to work and can use their current income as well.
2. Long-Term Care Insurance
This type of insurance policy will pay for part or all of the care for individuals with cognitive decline related to dementia or assistance with activities of daily living (ADLs). Policies vary, so it is essential to understand what your policy will and will not cover.
3. Veteran’s Benefits
Eligible U.S. veterans may use their benefits, disability pay, or pension fund to pay for senior care. You must meet service, financial, and clinical eligibility requirements, which vary depending on the specific benefit.
4. Medicaid
This federal and state-run program helps individuals with low-income pay for medical care, including home health care, assisted living, and long-term care. Medicaid programs, eligibility requirements, and coverage vary from state to state, so you need to check in with your state medical assistance office for details.
5. Medicare
All Americans 65 and older are eligible for Medicare, a national, government-funded program. Medicare does not typically pay for long-term care but covers a percentage of short-term skilled nursing care and rehabilitation services.
Other Options to Manage the Cost of Senior Living
Life Insurance
Life insurance policies can help pay for long-term care in various ways, depending on the specific policy. Options include surrendering your policy to the insurer, selling it to a third party, taking a loan against the cash value, or converting it into long-term care payments.
Real Estate Assets
If you own a home or property, there are many ways to use it to generate funds for senior living. The obvious one is to sell. However, you can also use a home equity loan, take a reverse mortgage loan, take a bridge loan, or generate income by using it as a rental property.
Contact Buckner Villas to Discuss Options for Paying for Senior Care
Buckner Villas is one of six retirement communities operated by Buckner Retirement Services. Located throughout Texas, the Buckner name has been synonymous with providing seniors with dignified living and expert care since 1954. Our team is expert at helping families determine the best options for senior living. Contact us online or by calling 844.960.5295.