You may be considering moving to a senior care community, but the process of making the move can bring about a lot of uncertainty and confusion. There are a lot of misconceptions surrounding senior living, leaving many seniors feeling lost and unprepared to transition to a new community. This article is meant to demystify the common misunderstandings that many seniors and their families have about assisted living to leave you feeling more prepared to take the next step.
Myth #1: Medicare and Medicaid will cover my assisted living expenses
This, unfortunately, is mostly false. Medicare is government-funded health insurance for adults 65 and older. It is meant to cover strictly medical expenses. Assisted living, however, is not considered a medical expense, but rather a living one: it includes your room and board, meals, recreational activities, and the like. Think of paying for assisted living as paying rent and other living expenses—health insurance does not cover any of that.
What about Medicaid? Medicaid is essentially financial aid to help cover medical expenses for low-income individuals. Like Medicare, it does not cover any living expenses. It may, however, cover medical costs that some select communities provide. Keep in mind that you cannot use Medicaid to cover any kind of cost in private-pay communities, but there are some communities that do accept Medicaid for certain expenses.
Myth #2: They’re going to take my home and savings
Now that you know that no insurance can fully cover the cost of assisted living, you might be wondering how you’re going to pay for it. You might be worried that the community you move to is going to force you to give up your home, savings, and other assets to pay for it. This, however, is not the case!
No one is going to force you to give up any of your hard-earned assets. Rather, your assets are resources you can use to help fund your time in your senior care community. Imagine this: you move to a senior community, so you have a monthly bill of $5,000 from your community. But you also own a house, for which you are still paying utilities, homeowners insurance, and more even though no one is living in your home. As a result, if you are planning on staying in your assisted living community for the long-term, you may want to consider selling your home so that you will not have to pay that unnecessary cost, as well as have more money to put towards your current living expenses. That said, what you do with your assets is your choice—you will never be forced to give up anything that belongs to you.
Truth #1: There are other ways to pay for assisted living
It can be disappointing to hear that Medicare and Medicaid do not offer much help in paying for assisted living. But don’t give up on the idea of moving just yet—there are plenty of other ways to fund your experience! Financial planning is a key part of moving to a senior care community. In short, you can use your savings, pensions, annuities, your 401K, veterans benefits, long-term care insurance, and even your life insurance and rental income from your property. Oasis Senior Advisors can help you review your financial options and come up with a plan.
Truth #2: You can keep your assets safe
One way you can do this before making the move is to speak with an attorney to move your assets into a trust. This is an effective way to protect your assets and make sure they are in good hands.
Ready to Start the Search?Maybe you’re ready to search for a senior living community that’s right for you, but don’t know where to start planning financially for it. Or maybe you’re just overwhelmed by the number of facilities you can choose from! If you’re looking for senior living in the New York City area, click this link and an Oasis Senior Advisor will be in touch with you shortly. Whether you want to explore your options or need guidance with finances, we can help you walk through every step of the process. Whatever your budget is, we can help you make the move to your perfect fit!