Planning for senior care can feel overwhelming, especially when families begin exploring the financial side of assisted living and long-term care. Every family’s situation is different, and many people are surprised to learn there are several ways to help cover senior living expenses.
Whether you’re planning ahead for yourself or helping a loved one through the process, understanding the available funding options can make the transition feel more manageable. From personal savings to veteran’s benefits, there are a variety of resources that may help support the cost of care.
Paying for Senior Care
Paying for senior care is a challenge for many families. Some families are fortunate enough to have the means to pay for long-term care for an extended period of time with their income or savings, but many other families may need to consider leveraging assets or pooling resources. You may want to look at a combination of these methods:
Income and Savings
Using personal income or savings to pay for senior living is the best case scenario when a loved one needs extra assistance.
If a senior isn’t able to fully cover expenses, family may contribute a part of their income or savings to help pay for care.
Long-Term Care Insurance
If your loved one has long-term care insurance, it may cover assisted living, depending on your policy. However, less than 5% of Americans have long-term care insurance.
The most cost-effective time to secure coverage is during middle-age or younger. If your loved one is covered, it may go a long way to support care costs.
Additional Funding Options
Veteran’s Benefits
The VA has assistance programs that can help pay for care for older veterans who served during specific periods of war. Assistance is also available to qualified widowed spouses of wartime vets.
Home Equity
Many seniors transition from a house or other residence that they own. The sale of their property can help pay for their care.
Need assisted living care immediately but aren’t able to sell their home right away? Some communities will offer deferments that are paid back when the home is sold.
Pooling Family Support
A senior who can’t afford assisted living care often relies on financial support from grown children or other family members.
Reverse Mortgage
A reverse mortgage allows you to borrow money based on the equity in your home. The loan is paid back when you sell the home. A reverse mortgage stipulates that you must reside in your home for the length of the loan.
A reverse mortgage can be useful if a senior needs care and has full ownership of their house.
Learn More About Senior Living at Laurel Parc
Finding the right senior living community is about more than just care — it’s about comfort, connection, support, and peace of mind for the entire family. If you have questions about assisted living, memory care, or navigating the financial side of senior care, the team at Laurel Parc is here to help.
