Assisted Living Costs | Learn How to Start Planning Now!
Need Help Creating a Plan to Cover the Costs of Long-Term Care for Your Loved One? Start with These Tips.
Many reasons might lead you to start saving for a loved one’s care in an assisted living facility. Maybe they have been diagnosed with Alzheimer’s Disease or Dementia and need round-the-clock care. Perhaps your parents moved into their dream retirement community but now can no longer live independently due to physical limitations such as loss of mobility. Whatever the reason may be, starting early on savings will help relieve some stress when it comes time to cover assisted living costs.
The Time is Near, it’s Time to Discuss the Alternative for Long Term Care.
You may want to consider a sit-down with your loved one. A good conversation on the subject can help you have a clear picture of their finances, needs, and alternatives. Take the time to discuss their future and learn about their expectations for their care down the road. At the end of the day, we want what’s best for them. Having this conversation early on is pivotal in the planning process for long-term care. If you’re concerned about their fast-approaching care needs, it may be a good time to start researching facilities. That way, you can rest assured that your loved ones will have full access to the care and services they need.
These 9 Tips Will Help you Plan and Pay for Loved One’s Long Term Care in an Assisted Living facility.
1. Organize and have conversations with your loved one about financial matters. By having conversations now, you will know their current wishes for future care as well as the legacy they wish to leave behind!
2. Create a durable power of attorney document that has been signed by both parties. This way if either party is incapacitated then another person can make decisions on behalf of them.
3. Determine what kind of insurance policies are already in place such as long-term disability or life insurance policies and how those may help pay for much-needed healthcare expenses like assisted living facility costs.
4. Consider setting up an annuity account that could be used towards the monthly costs for an assisted living facility.
5. Look at investment accounts, savings, and checking account balances and understand the person’s assets to better determine what they may need to pay their current or future long-term care expenses.
6. Make sure that you plan to keep your finances safe, such as with password protection safeguards like two-factor authentication where possible!
7. Talk to your loved ones about the long-term care decisions and find out what their preferences are. For example, they may want you to take over all of their finances once they can no longer make financial decisions themselves or have someone else in charge, such as a family member or friend.
8. Discuss with them what type of assisted living facility would best fit their needs so that way there aren’t any surprises from an unexpected move.
9. If it’s possible, consider visiting potential assisted living facilities like Insignia Senior Living before making a decision on which one will work best for you and your loved one. This way you’ll know exactly what to expect when it comes time
Here are Other Things to Consider to Cover Assisted Living Costs:
-Research and compare facilities.
-Find out what your loved one’s insurance will cover, or if they have any other coverage options available to them that may be able to help with the cost of care.
-Determine how much you can contribute financially towards their long-term care costs each month. This will help you create your own plan for retirement and your family’s finances in the years ahead.
-Find out if someone has served in the military, talk about veteran’s benefits. There may be some assistance available depending on what branch they were serving in when they left service, including programs like HUD-VASH and VA. The local Veterans Affairs office is a good resource, too, as well as national organizations like the Disabled American Veterans (DAV). Some of these sources may offer low-interest loans or other ways to cover assisted living costs.
-When planning for a parent or grandparent, find out about pension benefits through Social Security by contacting the Office of
– Sell or rent your home. This can help up free up assets that can be used to pay for assisted living. Renting the property may also considerably help in paying for care. Moreover, it can help keep the house in the family.
Go Beyond the Typical Income Sources.
Other resources that can help cover assisted living costs may come from professional pensions, 401 k, IRA accounts, and other sources of income. Moreover, if you have siblings, discuss how you can divide the costs amongst yourselves. This can help you alleviate the financial burden on any specific member of the family. Discuss it with your family and discover your alternatives. If you’re the only family member that can cover the costs of assisted living. Consider using a reverse mortgage on your loved one’s property to pay for care. This way you won’t have them worrying about how they’ll repay you.
Communication is Key in the Transition to Assisted Living.
It is important to take the time and talk with your parent or grandparent. They need to know their options, how things will change for the better, and when they should go into assisted living care. You can even talk about how you can cover the costs of assisted living together.
If you have the financial resources, consider paying for assisted living care upfront. Which can help alleviate some of your loved one’s worries. It’s also a great option if they are uncomfortable signing over their property to pay for long-term care.
Discuss it with your loved one.
Families should avoid sending their loved ones into an advanced level of care without discussing it with them first. This may lead to a feeling that they’ve been abandoned. The adjustment period in assisted living shouldn’t be any more difficult than it has to be!
Lastly, consult with other family members or friends who might have had similar experiences. This can help you decide how much assistance your loved one will need. A senior living expense calculator can also help you explore the costs so you can make more informed decisions. The best action plan is actually reaching out to Assisted Living facilities and discovering their real costs.