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Understanding financial solutions for a move into senior living
When the time comes to move a loved one into an independent or assisted living community, it can be stressful for a number of reasons. Beyond all the emotions and logistics of this transition, you also may be worrying about the financial aspects of this move.
There are many new and innovative options available to you that will help make this move possible. With careful research and planning, financing senior living does not have to put a strain on your resources.
Most people try to pay for senior living care out of their own pockets with private funds, which can be very limited for retirees. The good news is that there are a variety of financial strategies nowadays that can help them afford this new living arrangement – many of them using assets that haven’t been considered or are no longer useful.
First you will need to get an idea of what your costs will be. Look at facilities in the area you would like to live that offer the level of assistance you are seeking. Consider what type of services you will require from a senior living community and review the amenities and activities that are important to you.
In 2010, the average yearly cost in the US for rent in an independent living community was nearly $32,000.* The average assisted living rent was $39,000 a year; and rent for a private room at a Skilled Nursing facility averaged about $83,000 a year.†
It’s important to remember that costs can vary significantly depending on the location, services, amenities, and size of the community. Senior living costs tend to parallel housing cost in the surrounding neighborhood. Once you’ve identified your location and your living and care needs, you will have the information you need to start your search for funds.
The following information will give you a quick overview of some excellent financial options that can help you afford the senior living arrangement that is right for you.
These include:
- Elderlife Financial Services
- The Life Care Funding Group
- Veteran’s Administration Benefits
- Using Life Insurance to Pay for Senior Living
- Friendship Suites
*Long-term Living Magazine
†MetLife Mature Market Institute
For more details on any of these programs, please contact your local community.
Need assistance from a Financial Planner?
Emeritus partners with the Financial Planning Association (FPA), to help you stay on track when making financial decisions about senior living.