The cost of an assisted living residence varies depending on a number of factors such as location, amenities, and the amount of services the resident requires. For example, the total monthly cost of assisted living for an individual that requires assistance with bathing, taking medication, or housecleaning will usually be more than the cost for an individual that is able to perform these functions independently. In some parts of the country, the monthly cost of a one-bedroom assisted living apartment may be as low as $1,500 and in others, as high as $4,000. According to the U.S. Department of Health and Human Services, the average cost in 2009 for a one-bedroom unit in assisted living in the U.S. was $3,131 per month. For more information, visit their website at: http://www.hhs.gov.
When reviewing the cost of an assisted living residence, be aware that many expenses you may be accustomed to paying for a house, condominium or townhouse are included in the monthly fee for the assisted living unit. In assisted living, you will not pay real property taxes, homeowner’s insurance, home repairs, and landscaping. Also, some utility expenses, such as trash removal, may be included in your monthly rent. After taking these other cost savings into account, assisted living may seem more economical.
If you are considering moving to an assisted living facility, ask to review their resident contract or assisted living agreement. This contract should set forth the up-front or entrance fees, monthly rent, and any other additional fees or expenses you will be charged as a resident. Do not sign any contract without carefully reviewing it. It is also recommended you consult a lawyer or other trusted advisor about the provisions of the agreement before signing it. If the agreement contains hidden fees, rental increases, or is difficult to terminate, you could spend through your retirement savings more quickly than planned.
How to Pay for Assisted Living
In general, the cost of assisted living must be paid from your own private funds. Medicare, Medigap, and private insurance do not pay for assisted living. For individuals with low incomes and limited resources Medicaid may pay for certain health care services, medical equipment, and medications, but Medicaid generally does not pay rent, room and board in an assisted living facility. Some states have Medicaid waiver programs that may cover a portion of assisted living costs, but these waivers are only available to a very small number of individuals.
Some long-term care insurance policies provide coverage for assisted living, but others do not. If you own a long-term care insurance policy, review the policy for information on assisted living coverage.
Some people use reverse mortgages, annuities or life insurance to pay for assisted living. Also, some non-profit organizations make funds available for assisted living residents that can no longer pay their monthly living expenses. If you are concerned you may run out of money and need to rely on government assistance to pay for long-term care, becoming informed about Medicaid is a must. Visit our page on Medicaid Planning for seniors for more information.
The Benefits of Assisted Living
The services and amenities available in assisted living vary by facility. Most assisted living communities offer the following services, conveniences, and amenities:
Private apartments, cottages or villas
Cooked meals, meal services, dining rooms or cafeterias
Assistance with activities of daily living, such as bathing, dressing, grooming, and taking medication, if necessary
Showers and baths with safety features and handicapped accessibility
No property taxes
Professionally landscaped grounds and maintenance services
Laundry, linen, and housekeeping services
Transportation arrangements and buses to shopping, groceries, and restaurants
Physician or nurse on-site
Gym, exercise room, swimming pool, and exercise classes
Computer room or assistance with computers and related equipment
Library
Beauty/barber shop
Emergency call response system
Social activities, events, outings, clubs, and entertainment
Religious services
Respite care
Do Assisted Living Facilities Accept Pets?
Many assisted living facilities do not accept pets. However, there are some assisted living facilities that offer pet-friendly units. For example, some assisted living communities allow cats and small dogs in their cottages or villas, but do not allow them in their apartment buildings. If you have a large dog, it will be difficult to find an assisted living community to accept your pet. However, there are some assisted living communities that accept larger dogs. If you have a cat or a small dog and are willing to pay an additional monthly pet fee, there is a greater likelihood you will find an assisted living community for you and your pet.
Even if you plan to take your pet to assisted living, try to make arrangements with a pet caregiver or pet retirement home by using a pet trust, so there is someone to care for your pet if you become disabled or incapacitated and cannot care for your pet. Even if you never need the pet caregiver, it is good to have a family member or friend who is willing to provide a safety net for your pet in case of emergency.
