How to Pay for Family Senior Care
Senior care is expensive, and costs are expected to continue to rise. Families who have to pay for long-term care for a loved one often find themselves wondering how they will pay for it. The high cost often requires families to use a combination of two or more sources of money.
- Shop around at the different options for long-term senior care to find the most affordable situation that works for your family. Senior care homes often provide different levels of care, ranging from independent living to complete support. Paying only for the level of care that is needed can save a lot of money. Also, at-home care can be a less expensive option.
- Decide how much savings you can or will contribute. This is often a source of at least some of the money needed for senior care. Ask other family members if they can or are willing to contribute.
- Find out how much will be paid by Medicaid, veteran’s benefits or other government programs. There are various factors that will affect how much these programs will contribute. Contact each program to determine how much your loved one is eligible for.
- Look at insurance as a source of paying for senior care. Long-term care insurance, Medicare and life insurance will help pay for some, if not all, of the care.
- Consider taking out a home equity loan or a reverse mortgage. Many families find themselves using the value of their home to raise any extra capital needed. This should be one of the last options you look at, since it involves borrowing against an investment asset.
- Check with your state to see if there are any state programs that offer financial assistance. While many states offer such programs, it can be difficult to qualify due to the limited funding and number of applicants.