If you have not looked into the subject, you may be unpleasantly surprised when you hear about the current state of long-term care costs. Medicare does not pay for long-term care, so this is a subject that you should take quite seriously when are looking ahead toward your senior years.
Most people who attain senior citizen status are going to need help with their day-to-day needs eventually. The very useful government website LongTermCare.gov tells us that seven out of every 10 seniors citizens will someday need assistance with their activities of daily living.
New Genworth Financial Survey
The MetLife Mature Market Institute was a very good source of ongoing information about the current state of long-term care costs. Over the last couple of years, they seem to have dropped the endeavor, but Genworth Financial has been providing ongoing data for all 50 states.
The results are not encouraging if you are looking for inexpensive long-term care in California.
According to the Genworth Financial survey, the median annual cost for a private room in the state of California during the current calendar year is $104,025. The median cost for a year in a semi private room is nearly $90,000.
The future does not look very bright when you examine the trajectory. According to the survey, nursing home costs should rise by around four percent per year when you analyze the data.
Assisted living communities are also quite expensive in California and around the country as a whole. The survey found that the median cost for a unit in an assisted living community in California is $45,000 per year.
People often require multiple years of long-term care, so you can see that the overall expenses can be staggering.
Long-Term Care Solutions
As we have stated previously, the Medicare program does not pay for long-term care. However, Medi-Cal is a government health insurance program that does pay for living assistance. It is the solution for many seniors who require help with their activities of daily living.
It takes careful and informed planning to qualify for Medi-Cal if you retired with resources, because it is a need-based program, and there are asset and income limits. However, if you take the right steps in advance, you may be able to obtain eligibility without losing everything that you intended to leave behind to your loved ones.
Elder Care Consultation
Our firm can help if you are concerned about future long-term care costs. We place an emphasis on elder care matters, and we would be glad to answer all of your questions and help you put a plan in place if you decide to move forward.
To set up an appointment, send us a message through our contact page: San Jose CA Geriatric Care Managers.
- The Family Home, Medi-Cal Planning and Family Discretionary Trusts (VIDEO) - August 12, 2020
- How to Protect the Proceeds of the Sale of the Home for Medi-Cal Eligibility Purposes (VIDEO) - August 6, 2020
- Avoid These Inheritance Planning Traps - August 5, 2020