Tips for Financing Assisted Living
When beginning your search it is easy to feel confused and overwhelmed about the cost and pricing structure and the options for paying for care. No two assisted living communities are the same and this can cause families to find themselves struggling to understand the true cost of senior care homes.
When looking strictly at the pricing it can seem expensive, however, the value of an assisted living community becomes more apparent after you understand what that cost includes. Aside from the apartment, monthly fees typically include meals, transportation, housekeeping, laundry, maintenance, life enrichment activities, emergency response systems, and utilities.
While most of the costs associated with assisted living is paid for from private funds, there are other options. Here are some common ways families receive financial assistance to help with monthly costs.
Aid and Attendance Benefit
This is one benefit that is often overlooked. Many families of veterans are not even aware that this is an option. If a veteran meets the criteria, the awards can be pretty significant. For many families, it can make the cost of moving to an assisted living community much more doable.
In 2020, a veteran and their spouse could be eligible to receive the following amounts:
Married Veteran: $2,266 per month
Single Veteran: 1,911 per month
Surviving Spouse (No dependents): 1,228 per month
Our Sales Director can provide you with more information to learn how you can gain access to these funds.
Long-term care insurance
This is another hidden gem that not a lot of people know about. If you have not reviewed your loved one’s long-term care insurance policy, make it a priority to do so. Many people are surprised to discover that it covers much more than nursing home care. Some policies will pay daily and monthly stipends to help finance in-home care or fees at a licensed assisted living community.
Short-term bridge loan
A bridge loan is a short-term loan (typically 6-12 months) that can be used if the care needs of your loved one change over night and you cannot wait for their home to sell before making the move to an assisted living community. For people affected by conditions outside of their control, a bridge loan may be necessary from temporary funding. In this case, the senior assumes that their home will sell within the length of time specified in the contract for a sum that will cover repayment of the loan.
Sources: VA pension rates for Veterans (https://www.va.gov/pension/veterans-pension-rates/); Bridge Loan (How Does a Bridge Loan Work? | Credit Karma)