Costs of Senior Care

How much does eldercare cost? The answer depends both on the type and extent of care required and one’s geographic location within the US. Follows is an overview of senior care services and residential living situations and their average costs.  

On this website, you can also:

• Learn How to Lower Your Cost of Care
  
• Search for Financial Resources to Help Pay for Care
  
• Find the Most Affordable Care in your Area
  
• Understand Assisted Living and Alzheimer's Care Pricing Models
  

The total cost of senior care for any family depends on the length of time for which care is required. Life expectancy calculators are helpful tools when planning for long term care, this website offers both a statistical life expectancy calculator for long term planning and a medical life expectancy calculator for shorter term planning.

Home Care Aides provide at-home, non-medical assistance to seniors such as helping with personal hygiene, laundry, cooking and transportation. Typically they visit a home several times a week for visits lasting from 2 – 8 hours.   In 2013, the national average was $18 / hr with different state averages ranging from $14 - $28 / hr.  Interestingly, while the cost of health care including assisted living goes up by approximately 5% per year, home care costs have remained relatively stable increasing less than 1% per year. 

It should be noted these are average costs from home care agencies.  Private individuals can be retained to provide some of the same services with fees 20-30% lower. Search for Home Care providers.

Home Health Aides offer skilled care such as checking patients’ pulse, temperature and respiration and assisting with medical equipment such as ventilators. They will visit the home as much as medically necessary but typically for shorter periods of time than Home Care Aide visits.  In 2013, the national average was $19 / hr with different state averages ranging from $15 - $39 / hr.

Adult Day Care provides elders with supervision and social activities in a structured setting during daytime hours. In 2013, the national average was $65 / day with different state averages ranging from $33 - $113 / day.

Adult Day Medical Care provides the supervisory and social aspects of Adult Day Care and offers more intensive health and therapeutic services for individuals with severe medical problems and those at risk of requiring nursing home care.  In 2013, the national average was $79 / day with different state averages ranging from $67 - $143 / day.  Find Adult Day Care.

Assisted Living Residences provide help with activities of daily living including basic health services, recreational and social activities. Cost is usually made up of monthly rent with additional fees based on the level of attention the resident requires. In 2013, the national average amount paid was $3,450 / month and different state averages ranged from $2,287 to $5,994. Patients requiring Alzheimer’s or dementia care paid an additional $1,150 or approximately $4,600 / month.  Find Assisted Living and Alzheimer's Care Communities.

Skilled Nursing Residences offer 24/7 care by licensed health professionals including all housekeeping, medical and social needs. In 2013, the average amount paid for a private room was $230 / day with different state averages ranging from $159 - $701 / day. A shared residence usually costs 80-90% of a private one.  Find affordable skilled nursing homes.

Continuing Care Retirement Communities (CCRC) are residences that provide a continuum of care from independent living to assisted living to skilled nursing. These are designed to enable seniors to remain in a single residential location. This is particularly attractive for seniors with declining health conditions or couples in mixed health. While CCRCs offer much for seniors, they are the most expensive long-term-care solution available. There is a one-time entrance fee and monthly maintenance fees. Entrance fees range from $60,000 - $120,000 and monthly maintenance fees from $400 to $2500.

The location and size of the residence and the senior’s current health accounts for some the wide range in costs. There are also three types of care contracts that play a major role in fees.

1. Extensive or Life Care Contract is the most expensive option and covers all long term care costs at no additional fees. This option offers a predictable monthly fee regardless of the needs of the individual; therefore it allows one to build a payment plan the remainder of the senior’s lifetime.
2. Modified or Continuing Care Contract is less expensive than a Life Care Contract, but restricts the total number of days one can receive long term care. Should the senior require additional care, it can be purchased at the time for a discounted rate. Therefore, while less expensive, there may be unexpected future costs.
3. Fee-For-Service Contract is the least expensive monthly rate but residents will pay separately for all long-term care. If extensive care is required, this will be very expensive.

Geriatric Care Managers (or GCMs) are persons that manage the coordination of care for an individual in need.  They bill in a variety of ways, but typically their hourly rates are between $50-$200 / hr.  A typical engagement involves a needs assessment, care plan creation and implementation; this might require 20-40 hours of work.  Therefore retaining a care manager might cost from $1000 - $8000.  Medicare, Medicaid and health insurance very rarely pay for these costs, long term care insurance might, but most often this is an out-of-pocket cost.  Find Geriatric Care Managers.

In addition to the convenience and security they provide, Care Managers can save families money because their needs assessments align an individual’s present condition with only those services that are necessary at that time.  This prevents unnecessary fees from home care providers and assisted living residences.

The quick reference table below shows the costs of each type of care by hour, day, month and year.  Also useful is the easy-to-use, Long Term Care Cost Calculator provided by the website eCareDiary.  Search for financial assistance for long term care.