Uncover Hidden Financial Aid for Assisted Living
Assisted living communities across the country are home to more than 800,000 Americans, according to the AHCA/NCAL.
If you or your loved one is worried about the cost of assisted living, you're not alone. The good news is that there are multiple ways to pay for these necessary communities, with a variety of programs and waivers to apply for.
By applying for financial aid for seniors, older adults can remove the burden of paying for assisted living entirely on their own, focusing on what matters most -- enjoying their golden years. This helpful article explains how assisted living affordability enters into the equation for seniors, especially those on fixed incomes.
Understanding Assisted Living Costs
According to the AHCA/NCAL, assisted living costs an average of $4,500 per month in the United States.
When seniors move to an assisted living community, they're typically given the option of:
- All-inclusive pricing
- Fee-based pricing, paying for services as they arise
When a senior opts for an all-inclusive package, one month's fees cover all their expenses, from food to housing and anything else offered. For seniors who choose to pay fees as they arrive, their monthly bills cover housing, with other services being an add-on.
Seniors can help offset their monthly bills by choosing the plan that best fits their needs. For example, anyone who requires all the available services at an assisted living community should opt for all-inclusive pricing. However, those who just need a few services might want to consider the fee-based pricing schedule, as this can save them money.
Once a senior decides on a pricing scheme, they need to consider ways of paying for it. If their retirement savings aren't enough to cover assisted living, they may need financial assistance for assisted living.
Benefits for Veterans
Veterans might benefit from hidden financial aid to help offset the cost of assisted living. These benefits typically apply to both veterans and their spouses. You'll need to contact the Department of Veterans Affairs (VA) to learn more about these financial aid benefits and to apply, but anyone entitled to these benefits should receive them, so don't hesitate to apply.
The VA's website outlines what sick or disabled veterans may qualify for. This includes 24/7 access to the following:
- Medical care
- Pain management
- Assistance with personal grooming and other daily needs
- Caregiver support
Plus more. These benefits also apply to assisted living communities, and not just private residences or nursing homes.
Social Security Benefits
Social Security benefits are available to seniors who are at least 62 years old and must be started before a person turns 70. These monthly payments can be used to pay for living expenses, assisted living included. However, many older adults rely solely on social security, and it may not be enough to offset the cost of assisted living.
In this instance, an old adult can apply for another type of senior care funding: Social Security Disability Insurance. If you have enough work history and a disability, you may qualify for these benefits. These benefits can apply to the cost of assisted living, reducing senior care costs.
Keep in mind that the average amount of monthly benefits for anyone receiving Social Security is less than $1,800, according to the Social Security Administration. Depending on the cost of assisted living, this may not be enough. This is when seniors and their families need to consider other means of paying for assisted living.
Does Health Insurance Pay for Assisted Living?
In short, no; traditional health insurance doesn't pay for assisted living.
This doesn't mean there aren't any available insurance options. Long-term care insurance may help pay for some of the costs associated with assisted living. Even if it doesn't cover it in full, coupled with your social security benefits, you may find your assisted living payments are much more manageable.
Long-term care insurance considers several factors. For example, your age when purchasing the plan dictates what you'll pay. There are also stipulations on the following:
- How much a policy pays daily
- How many days or years a policy pays out for
- Any other benefits you'd like added to your coverage
Keep in mind that these policies are similar to life insurance policies and require medical underwriting. This means that, if your health is poor or you're already in an assisted living community and apply, your application may be denied. If you do qualify for some coverage, you may pay more than you'd like, which means it's important to take advantage of all your available options for paying for assisted living.
What About Loans?
Seniors and their families may want to consider special loans to help with paying for assisted living. This is where bridge loans come into play, although they're only useful for specific circumstances.
Bridge loans can be short-term loans that help families while they adjust to the cost of assisted living for their loved ones, especially if they have other funds on the way and need a temporary stopgap. These loans are ideal if other sources of income will become available in the next year and a half, or less.
When seniors wait for their Veteran's benefits to come through, bridge loans can help cover the expense of assisted living. Once they receive their benefits, they can pay their loans back.
Other instances where bridge loans are effective include selling a home. Since it can take months to sell a home, bridge loans can provide temporary funds while a house is under contract. This allows seniors to transition into their assisted living community before funds from their home sale are available.
Offset the Cost of Assisted Living Today
Although federal programs such as Medicare and Social Security don't necessarily pay for the cost of assisted living, you can use some of your Social Security benefits to pay. Medicaid also has waivers you can apply for, which might help offset the cost to a certain degree. You can also look into Social Security Disability Insurance and private insurance plans to help.
At Taylor Place Assisted Living, we offer a Veteran's Program in honor of our former military members. This Special Veterans Program has discounts that can make assisted living that much more affordable. Give us a call today to learn more about this program and how we can help you pay for assisted living in Findlay, OH.