What is the best way to afford an excellent quality of life post-retirement? For many, it's working even after retirement, setting up a savings account, and for others, it's relying on friends and family. However, an effective approach to paying for assisted living is to follow a holistic strategy and start early.
According to the American Healthcare Association, assisted living costs range from $4,500 per month to $54,000 per year. Moving to an assisted living community is an automatic decision often necessitated by the care needs associated with aging.
However, transitioning to an assisted living community can be very difficult if you aren't financially prepared. Let's explore the financial strategies you can implement to afford assisted living.
There are various ways to fund senior care that you can use to make the most out of your golden years. Here are a few strategies:
Most seniors privately fund their assisted living costs. They do this through their:
Although not a private funding strategy, a long-term care insurance policy can help you offset assisted living costs. While many insurance companies don't typically cover assisted living costs, they can provide you with a policy with the necessary funds when necessary.
Privately paying for assisted living requires long-term planning and carefully budgeting your finances. Remember, assisted living costs are subject to change due to factors such as demand and the services and amenities available.
Transitioning to an assisted living community involves letting go of what you no longer need. Consequently, you can secure more funding by selling your personal assets, including your home. Doing so can help you avoid the financial burden of maintaining a property you don't occupy anymore.
If selling isn't a great option, you can also take a home equity loan or a reverse mortgage on the house. Consult a real estate professional or a financial advisor to understand how the decision to sell your assets aligns with your long-term care needs.
You may qualify for government assistance programs that subsidize assisted living costs. The Department of Veterans Affairs covers a portion of the cost of assisted living for qualified veterans or their surviving spouses.
You can also check if the assisted living community you want has a Veterans discount program. These programs are ideal for reducing how much you have to pay for assisted living.
However, government programs and subsidies are not viable elder care payment options because they can change. For instance, the recent decision to cut federal funding may adversely affect the Department of Veterans Affairs' ability to provide financial assistance for seniors.
The U.S. Census Bureau estimates that one in six people is 65 and older. The growing aging population has heightened the demand for assisted living communities. It has also caused an increase in the cost of joining a senior living community in Cedarburg.
Moreover, the state where you reside can affect assisted living costs. States with a higher cost of living will have higher costs due to the additional senior living expenses. For example, expect to pay more in states like New York and California.
Other factors that can determine how much you'll pay for assisted living include:
The choice of apartment will also influence monthly and yearly costs. Studio apartments are cheaper than one- or two-bedroom apartments. You may opt for a roommate or communal living to lower costs.
Carefully explore all the factors when planning your finances for an assisted living community in Cedarburg. In addition, align your finances with your long-term care needs, as they'll likely determine how much you have to pay.
The Population Reference Bureau found that there are six million seniors with dementia currently in the United States. Moving to an assisted living community can help address the diverse and evolving needs associated with aging.
Besides, knowing when to move can help you come up with the right strategies for funding senior care. A crucial mistake most people make is delaying the decision while paying for at-home care. The costs can be double or even triple what you would pay in an assisted living community.
So, the longer you wait, the higher the expenses you might incur. Furthermore, there are specific indicators that can help you decide when to make the change to assisted living. Some of these indicators are:
Social and emotional factors should also guide your decision to transition to a retirement community in Cedarburg. For instance, social withdrawal and isolation are warning signs that your loved one may need to change their environment.
You can also move to an assisted living community to enjoy autonomy with daily assistance. You'll experience greater self-reliance while enjoying maintenance-free living with access to the necessary services and amenities.
Depending on the community you choose, paying for assisted living will vary. While price determines your ability to join an assisted living, you have to assess your needs first. Go for an assisted living community that meets your needs and has the amenities you want to live comfortably.
Other factors that you should consider when analyzing an assisted living community include:
Before your transition, take a tour of the community to learn more about the environment and what you can expect once you become a resident. Early preparation is vital to having the necessary resources for assisted living in Cedarburg.
Paying for assisted living shouldn't leave you or your family in financial turmoil. Strategic financial planning entails using various methods to meet your expenses post-retirement.
LakeHouse Cedarburg has created a stimulating, home-like environment that offers personalized and attentive care. Our highly trained staff can provide care 24/7, and our slate of activities will help you thrive and stay engaged throughout your golden years.
Contact us today to schedule a tour.