Many seniors opt to move into assisted living when life at home gets too challenging or begins to feel unsafe. This unique living option allows them to maintain independence while simultaneously ensuring that all their needs are met, including cooking and household chores. If that sounds like a dream come true, it is for many seniors.
The problem is that it can be difficult to understand the cost of assisted living and how it compares to aging in place. This article will break down the question of cost into the basics, answering seniors’ and their families’ most pertinent questions along the way.
What Is Assisted Living?
Let’s start at the beginning. Assisted living is a type of senior living community that offers residents a comfortable, home-like environment and autonomy over their day-to-day lives. Residents have access to services and amenities such as cooking and cleaning, and assisted living communities typically have staff members on-site to assist with activities of daily living (ADLs).
What’s the Average Cost of Assisted Living?
The average cost of assisted living varies significantly by place. As of 2024, the median annual cost of living in an assisted living facility was $70,800. However, some people pay as little as $3,000 per month. It all depends on the facility and its location.
The cost of moving to an assisted living community also varies based on accommodation options, including the size and type of housing, and the amenities available on-site. Individuals who require additional services, such as specialized therapy sessions or transportation, may also incur additional fees.
What’s Covered in Assisted Living?
When seniors or their families pay for assisted living, they’re not just paying for rent. Residents also get all their meals provided by professional chefs, get assistance with ADLs, and get to participate in fun recreational activities with other residents. Assisted living facilities typically have staff members available to assist residents.
How Do People Pay for Assisted Living?
Some people pay out of pocket for assisted living, while others find more creative ways to cover the cost of moving in. Long-term care insurance policies typically cover assisted living, and some life insurance policies will also allow policyholders to use some portion of the benefits to pay for long-term care.
In some states, Medicaid can help cover some parts of assisted living. In most places, it will cover caregiver assistance and medical expenses. However, residents on Medicaid will still need to pay for accommodation fees. Medicare doesn’t cover any assisted living costs.
US veterans and their spouses can also take advantage of the Aid and Attendance benefit, a type of financial assistance that can be used to cover the costs of long-term care for seniors. Homeowners often take out reverse mortgages to provide additional income on top of pensions and other sources to cover the cost of living in an assisted living community.
Get the Best Value for the Money
Moving into an assisted living community isn’t cheap, but a good one will offer plenty of value for the money. Residents get everything taken care of for them for the same price every month, which significantly simplifies their lives. Seniors who want to move into assisted living need to take their time when deciding where to go. Not all communities are created equal, and the cheapest option may not be the best one, depending on the person’s budget. Visit several communities and make informed decisions.
