ASSISTED LIVING, HOW TO PAY FOR IT

Written on September 5, 2024, by Peter Hayes, President Senior Care Relations

Paying for assisted living can be challenging, but there are several options to consider depending on your financial situation, location, and eligibility for certain programs. Here’s an overview:

• Personal Savings and Assets
  • Savings and Investments: Many people use their own savings, retirement funds, or income from investments to cover the costs.
  • Home Equity: Selling a home can provide funds for assisted living.
• Long-Term Care Insurance: If you have a policy, it may cover part of the costs, depending on the coverage specifics. Policies vary, so review yours to understand what it covers.
• Medicaid: In some states, Medicaid may cover a portion of the costs, particularly for low-income individuals. Medicaid programs differ by state, and there may be specific eligibility requirements. Medicaid doesn’t cover the cost for assisted living in the Commonwealth of Virginia.
• Medicaid Waivers: Some states offer Home and Community-Based Services (HCBS) waivers that help pay for senior living.
• Veterans Aid and Attendance Benefit: Veterans and their spouses may qualify for this benefit, which can help cover the costs of assisted living. Most assisted living communities offer assistance with obtaining this benefit through a third-party provider.
• Life Insurance
  • Life Insurance Conversion: Some life insurance policies can be converted into a long-term care benefit to pay for senior living.
  • Accelerated Death Benefits: Some policies allow for early payout of death benefits if the policyholder needs long-term care.
• Social Security and Pensions: Monthly benefits such as Social Security or Pensions can be used to cover assisted living expenses.
• Bridge Loans: Short-term loans can help cover costs while you wait for longer-term funding options, like selling a home or receiving insurance payouts.
• Medicare: Generally, Medicare does not cover assisted living costs, but it may cover short-term care in a skilled nursing facility following hospitalization.
• Family Contributions: In some cases, family members may contribute to the costs of assisted living.
• Nonprofit and Community Resources
  • Nonprofit Assistance: Some nonprofit organizations offer financial assistance or subsidized housing for those who qualify.
  • Community Programs: Local community programs might offer assistance or advice on funding options.
• State and Local Programs: Some states offer additional financial assistance programs to help pay for assisted living. Auxiliary Grant (AG) is a program funded by counties for low-income individuals throughout the Commonwealth of Virginia. AG will cover the full cost of for someone in assisted living.

Steps to Take:

• Evaluate Costs: Get a clear understanding of the costs of the assisted living community you’re considering.
• Consult with a Senior Care Advisor: They can help you explore all available options and plan accordingly.
• Check Eligibility for Assistance Programs: Research and apply for any benefits or programs you might qualify for.

These options can be combined based on individual needs and financial situations. Consulting with a senior living advisor can also provide tailored guidance. Using a local senior living advisor to find the right assisted living community for a loved one is a complementary service that will benefit you by reducing the time involved in finding the right fit.

Senior Care Relations understands the differences between each community and can help you save time on identifying which community will meet your needs and preferences. We do not charge a fee to our clients. Helping you find the right senior living community is completely FREE to you! We can provide this service for FREE, because we receive a fee from the assisted living community if our client moves into the community.

If you live in the Roanoke, Salem, Botetourt, New River Valley, or other surrounding areas in Virginia and you are looking to gather more information about assisted living or other care options for you or a loved one, feel free to email us at info@seniorcarerelations.com or call us at (540) 730-1001. We are here to help you along your care journey!