| The Costs of Senior Care Options | | | | payment @ $250,000 + $3,000 - $5,000 per month |
| When planning for our retirement, most of us allocate | | | | These costs are consolidated to account for the |
| money into a 401K or another savings program to | | | | lowest to highest fees nationwide. |
| take advantage of tax write-offs and to make sure | | | | What are the ways to pay for these senior care |
| we will be able to enjoy a nice lifestyle when we are | | | | options? |
| no longer working from 9 to 5. We imagine using the | | | | 1) Private pay with your own savings |
| money to supplement our monthly social security | | | | 2) Long-term care insurance policy |
| checks to enjoy vacations and other leisure activities | | | | 3) Qualify for Medicaid care (nursing home only with |
| while taking advantage of all those senior discounts. | | | | the exception of a few states experimenting with |
| The financial company advertisements assist us with | | | | home care, must have assets of $2,000 or less) |
| the visions of enjoying gardening, sailing and relaxing | | | | Remember that senior home care agencies actively |
| during our retirement years. They don't show the | | | | manage the caregivers and provide for all the |
| other side of the reality which includes health | | | | necessary insurance and payroll taxes for the |
| problems which accompany aging. Along with a longer | | | | caregiver as their employee. This guarantees that a |
| life comes an increased chance for developing an | | | | substitute caregiver will be available when the regular |
| age-related disease, such as Alzheimer's Disease or | | | | caregiver cannot make the shift and provides active |
| Parkinson's Disease. Alzheimer's Disease is now the | | | | training and management of the caregiver. |
| sixth leading cause of death, according to the | | | | When evaluating nursing homes, you should inquire |
| Alzheimer's Association. As we all witnessed from | | | | about their ability to provide for your care if you end |
| watching former President Ronald Reagan battle the | | | | up needing to spend down your assets and go onto |
| disease, a senior with Alzheimer's Disease can live for | | | | Medicaid insurance. Medicaid is administered by each |
| many years, while requiring a caregiver to assist with | | | | state and provides for the needs of very low-income |
| their daily living. As Medicare does not pay for | | | | seniors, with the minimum in assets usually around |
| long-term senior care (only stays of 100 days or less | | | | $2,000. Most Continuing Care Retirement |
| in a nursing home for rehabilitation after a hospital | | | | Communities do provide for care should a senior |
| stay, with doctor pre-approval, with only the first 20 | | | | spend down their assets and need to be covered by |
| days paid at 100% by Medicare), the costs can | | | | Medicaid insurance. These communities also usually will |
| quickly add-up. | | | | refund a portion of the deposit upon a senior's death, |
| What are your senior care options when you need | | | | based on the number of years and services actually |
| caregiving assistance for your activities of daily living? | | | | used. As demonstrated by their name, they provide |
| - Senior Home Care Agency | | | | peace of mind for seniors by continuing to provide |
| - Nursing Home | | | | care at all levels of need, from independent living to |
| - Assisted Living Community | | | | around-the-clock nursing care. |
| - Continuing Care Retirement Community | | | | Remember, Medicare does not pay for long-term |
| How much do these options cost? | | | | care, which means to effectively plan for your senior |
| Based on prices effective as of January, 2009, here | | | | care needs, you must plan for where you want to |
| are the costs: | | | | receive the care and save to pay for the care |
| - Senior Home Care Agency: $15 - $25 per day/$190 | | | | services either in a nursing home or in your home. |
| - $350per day (Most common hourly rate = $19, | | | | While less than 7% of Americans over the age of 70 |
| Most common daily rate = $225) | | | | currently have long-term care insurance, it is |
| - Nursing Home: $145 - $400 per day | | | | predicted that more than 50% of Americans will have |
| - Assisted Living Community: $3800 - $5,000 per | | | | long-term care insurance in twenty years, as people |
| month | | | | witness their parents burn through their life savings |
| - Continuing Care Retirement Community: Down | | | | to pay for their senior care needs. |