Seniors & 7 Types of Long-Term Care Housing Options
Here’s the Scoop:
7 out of 10 people over the age of 65 will require long-term care.
A 75% growth in the share of American elders in need of nursing home care is expected by 2030.
4 in 10 assissted living residents are diagnosed with Alzhemiers or another form of dementia.
Women need care longer than men.
By 2050 the number of individuals using paid long-term care in any setting will be 27 million people.
Types of Long-Term Care in Senior Communities:
Independent Living - Offers private housing plus convenience, community, and amenities without hands-on care. Housing is in an apartment, condo, or cottage where the resident has access to social activities and dining without any home maintenance required.
Assisted Living - Provides non-medical support for seniors who need help with daily life. Offering the benefits of independent living with extra help with things like cleaning and laundry.
Memory Care - Supplies housing and full care for seniors who can no longer live on their own due to Alzheimers and dementia.
Nursing Home - Delivers 24-hour care from nursing to personal assistance. Helping those with long-term physical or mental health needs. Residents can be housed in private or shared rooms.
Residential Care Homes - Features homes, typically in residential neighborhoods, that are equipped to house under 20 individuals who receive care similar to that of assisted living residents.
Continuing Care Retirement Communities - Buy in communities that allow a resident to remain on one campus as they grow older require different types of care.
Veterans Care - Veterans receive benefits for long-term care; nursing homes and other communities contract with the Department of Veterans Affairs to assist veterans with nursing and housing.
The Question Everyone Wants to Know - How Much Is This Going To Cost Me?
On average, care ranges from independent living at $4,000 to nursing and memory care at $12,000 per month.
What accounts for the wide range in pricing?
Just like with buying a house or a car, senior communities range from non-luxury to luxury. While the costs do increase when you move from independent living to assisted living, and from assisted living to memory or nursing care due to the additional services being provided, there are differences in the communities themselves. The number of amenities can vary, the furnishings used in the apartments, the size of the apartments, etc.
Continuing Care Vs. Non-Continuing Care, what’s the real difference?
Continuing care retirement communities require a resident to buy in. In the Sarasota County area these range from $250,000 up to a very luxurious $900,000. This guarantees that as the resident ages and requires more or different types of care they won’t have to leave that campus. For instance, if a married couple moves into independent living and the wife needs to move to memory care 3 years later, she can move into a memory care apartment while her husband can remain in independent living. While they are now no longer living together, they are both in the same community making it easy for them to spend time together.
Non-Continuing care retirement communities can’t guarantee a spot in assisted living or memory care for a resident when they need it. The potential draw back here is that the resident would be on a waiting list for that community or would need to move to another community entirely. As a resident in a community already, their name would be placed above any non-residents on the waiting list, which is the benefit of moving into independent living. These communities operate on annual or monthly contracts, much like apartment complex’s which does allow for resident flexibility if they don’t enjoy living there, decide to move closer to family, or financially can’t afford the service; more on that later.
I’m doing fine on my own; why would I move into independently living now?
The benefits of moving into a senior living community earlier than later are significant, here are three of our favorites:
1) Wait Lists - Desirable communities can have waitlists that won’t allow you to move in when you feel you’re ready. The sooner your name is on the list, the better. You are able to “pass” on moving in when a spot opens and keep your position as the person behind takes the available apartment if there is a reason you can’t move in when your name is up.
2) Exhausting - Making a move is stressful and exhausting no matter your age. This move can be highly emotional as well. If you’re not working with Realtors like us, here at Betty Estates, it’s even more taxing as you try to navigate taking a 2 or 3 bedroom home and figuring out what is going to make the move to your new and generally smaller apartment. If you want until you actually need to be there, the moving process will be exponentially more difficult and taxing.
3) Community - The number one thing we hear from residents at our area senior communities is “I wish I hadn’t waited so long to move here”. As we age we naturally become more isolated; one of the biggest benefits of moving into a senior living community sooner than later is to make friends and join a community of people. Studies show that higher social engagement slows cognitive decline and has a direct positive effect on cognitive health. The residents we talk with speak highly of the employees and other residents of their communities. They enjoy all of the planned activities that they can participate in as they choose, but they also love the friendships they have made with their neighbors and the activities they create for themselves.
Funding long-term care - strategies for making the move:
For pre-planners this might be a no brainer as many seniors purchased long-term care insurance decades ago. Some of those plans will cover 80-100% of the long-term care costs. For those who didn’t go that route, your personal savings and investments will be able to help support your care. Immediate annuities convert a lump sum into a guaranteed income stream to cover the care costs. Bridge Loans, which are short-term loans, can provide funds by putting a home or other assets up as collateral until other funds become available. Government programs are available through the VA for our veterans and for those on Medicaid there are special benefits for you too. Finally, home sales. Home sales are a major way seniors fund their long-term care. Working with a financial planner will be the best way to ensure that you earn the most interest on the proceeds from a home sale to cover your costs of living in your golden years.
Contact Us to learn more about what Betty Estates can do to help you or your loved ones!
You don’t have to take our word for it, read more at the sites below: