Senior living communities are attractive to residents for their personalized care, wonderfully convenient amenities, and resident quality of life. But can you afford to live there?
Most people put off considering senior living because they have heard stories about the high cost. The financial commitment when paying for senior care in a community may seem much higher than what you currently pay for housing, but if you compare your budget side-by-side, you might be surprised at what you can afford.
While rates may sound unaffordable initially, many people are paying for senior care by using a combination of social security payments, retirement savings, and assets, such as the sale of a house.
- Pay special attention to the balance between entrance fees and monthly fees. There are two common financial arrangements to consider:
- Continuing Care Retirement Communities (CCRC) typically require an entrance fee, which can range from $100,000 up to $1 million dollars. After you move in, you’ll also pay a monthly charge. There may or may not be added fees for assisted living services, and only a percentage of the entrance fee is refundable when you move out of the community.
- Rental communities like Brightview Senior Living usually require only a modest move-in fee of $3,000-$5,000. The monthly rent is usually higher than a CCRC, but since you don’t have to pay a large entrance fee, it typically costs less to live in a rental. Additionally, when you move out, there is no forfeiture of money. There may or may not be added fees for assisted living services.
- Monthly bills for utilities, lawn care, housekeeping, groceries, and home owner’s insurance disappear, and you’ll also be relieved of the risk of costly home repairs, such as replacing a roof or heating system. Be sure to consider all of the expenses that will be eliminated with the transition.
- Take the time to fully grasp exactly what is – and is not – included in the fee you are quoted. It’s nearly impossible to make price comparisons on a rate until you understand what that rate includes and what additional fees may be added.
- Don’t always settle for the lowest price, because in many situations, you’ll get what you pay for. Lowest-priced providers don’t always invest in a caring staff or clean environment.
- Some communities can lure residents with a low cost introductory rate, then add hidden fees, or implement large rent increases every year. This can make it difficult for people on a fixed income to afford. Make sure you understand what increases you can expect in future years.
Contact a Brightview Senior Living community to learn more about pricing and how you might best be able to accommodate paying for senior care.