Tips for Funding Senior Living Expenses
Even the most well-planned retirement can take a hit with senior living expenses.
Long-term care services are expensive, and the cost of quality senior living care is expected to increase.
According to Genworth’s 2021 Cost of Care Survey, you can expect to pay anywhere from $61,776 annually to $108,405 annually for senior living expenses. Your cost will vary depending on where you live, the amount of care needed, and the type of community selected. Make sure you do your homework, ask questions, and consult with a financial advisor to help make the most of your money.
Whether you’re currently healthy and enjoying a carefree retirement or suddenly found yourself needing immediate long-term care, here are three helpful tips for funding senior living expenses.
1. Plan Ahead
Get your financial house in order before there’s a need for long-term care! A sudden need for long-term care is overwhelming, stressful, and life-changing for everyone involved. The senior living industry is complex. You’ll have a lot to navigate — determining the type of senior living option and finding the best community will take knowledge, research, and time. Speak with a financial advisor and insurance professional to get a plan to pay for senior living expenses if needed.
2. Make Use of All of Your Funding Options
Paying out of pocket isn’t the only way to fund senior living expenses. There are several ways to pay for senior living. Make sure you take the time to research every option available. Here are just a few ways to fund senior living expenses:
- Long-term care insurance: Can help pay for in-home care and some senior living expenses. If you have a long-term care insurance policy, your insurance professional can help clarify coverage.
- The U.S. Department of Veteran Affairs (VA) benefits: If you’re a veteran and receiving a pension, the VA Aid and Attendance Benefit can provide monthly payments for qualified veterans and their spouses.
- Home equity loan or reverse mortgage: Selling your home and using the equity or taking out a reverse mortgage are financially savvy options for funding senior living expenses.
3. Create a Budget
Your senior living options are massive. Once you start looking for senior living, you’ll probably be surprised by the variations in price—even within your city. Senior living communities can range from basic amenities and services to communities that offer everything from luxury living spaces, state-of-the-art fitness centers, and chef-prepared meals to various planned activities and social events. In addition, the amount of care needed will have a significant impact on expenses.
Residents who need help with activities of daily living or intense health care will pay more than more independent residents. Make a list of must-haves for amenities and have a realistic idea of what you can afford before meeting with senior living directors. Senior living experts at communities like Notre Dame Health Care can also provide helpful information for funding senior living expenses.
For more information about funding options for senior living, download our Funding Guide, or contact us today.
About Notre Dame Health Care
Notre Dame Health Care (NDHC) offers a range of post-acute programs and services to the community, including an Assisted Living Residence; Adult & Pediatric Hospice and Palliative Care; Post-Acute Recuperation; Short-Term Rehabilitation; Skilled Nursing and traditional Long Term Care; Specialized Memory Care; and an educational resource center which serves our employees and community. We embrace the individuality, spirituality, and wholeness of each member of our community, including our residents, patients, families, volunteers, and staff.
Notre Dame Health Care is proudly non-profit and honored to carry on the mission of the Sisters of Notre Dame de Namur to care for the sick and vulnerable and to educate for life through our NDHC Educational Bridge Center.
Notre Dame Health Care
555-559 Plantation Street
Worcester, MA 01605
(508) 852-5800
notredamehealthcare.org
