People are living much longer than they used to and many are living healthy lives into their 90s. A concern for many older adults is will that they outlive their money? As we age, we hope to remain in our homes, yet statistics show that roughly two thirds of older adults do need to move to a location that is more accessible and where they have access to services and care.
If your loved one is looking at senior living options, it is wise to know how long their money may last if they did need assisted living, memory care or full-time care in their home. A projection by a trusted financial advisor would be extremely helpful. Ask what monthly care costs are in their model. Assisted Living costs with some care averages about $4500 a month and nursing level care can be double that at $9000 a month. You can understand why outliving money is a concern. Medicare and health insurance do not pay for long term care costs rather they are paid by private funds or long-term care insurance until those funds are depleted and then Medicaid pays after that.
If it’s likely that funds may run out, then it’s extremely important that the options you consider for care accept Medicaid- Medical Assistance as we in MN call it. Many options today do work with Medical Assistance. First you need to apply for Medical Assistance, and then you apply for Elderly Waiver. Elderly Waiver is what pays for care in senior living options. For more information about Medical Assistance-Elderly Waiver look here.