General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsThis retirement expense has hit $100,000 annually -- and it's rising
This retirement living expense has nowhere to go but up.
The annual cost of a private room in a nursing home has cracked the six-figure mark, according to Genworth Financial.
The national annual median cost of a private room in a nursing home is $100,375, the insurer found in its 2018 Cost of Care study.
Overall, the rising cost of care has outpaced inflation. The Consumer Price Index for all urban consumers was 2.1 percent for the first half of 2018. The annual median cost of a room at an assisted living facility grew by 6.67 percent between 2017 and 2018. Meanwhile, the cost of a shared room in a nursing home jumped by 4.11 percent.
"These costs are outpacing the U.S. inflation rate, which is becoming greater competition when it comes to our wallet share," said Gordon Saunders, senior brand marketing manager at Genworth.
https://www.msn.com/en-us/money/retirement/this-retirement-expense-has-hit-dollar100000-annually-and-its-rising/ar-BBOE7It?li=BBnb7Kz
CrispyQ
(36,503 posts)Kill SS. Kill Medicare. Six figure nursing home expense. If grandma's family doesn't take her in, what happens to her?
KentuckyWoman
(6,692 posts)I am in my 70s. If I survive whatever major health issue causes me to require long term care, I have written, including advanced directives, that I want water but not food. All of my relatives understand my choice. Any time I am hospitalized for any reason I make sure that is part of my record.
If I cannot live fairly independently then I would prefer to move on.
Initech
(100,100 posts)And the powers that be just want more deregulation so they can make $120 billion instead of $100 billion.
cbdo2007
(9,213 posts)I admit I'm fairly uninformed on this issue, but I have had 4 dirt poor grandparents who spent their final years in fairly nice nursing homes and couldn't have been paying anything for it.
I'm wondering if this is one of those things where the "price" is $100,000 annually but Medicare pays 50 percent of it, they pay 20 percent out of social security and then write off the other 30 percent as a business loss to reduce their taxes.
A very very small percentage of seniors could afford this, compared to the number of people in the nursing home system so something must be a little fishy about this stat and some accounting tricks.
Ilsa
(61,697 posts)I don't think Medicare pays for it, maybe Medicaid. Folks who have parents needing 24/7 care usually take care of them themselves, or if they have to put them in a home, the patient's savings, SSI, and home equity are used. Any property they have has a lien put on it.
DURHAM D
(32,611 posts)Hoyt
(54,770 posts)and assets Medicaid picks up. If one is on Social Security, that goes toward nursing home care, less a few bucks for personal items.
If one owns a house, it goes to care unless patient is expected to return home. There are laws to recoup mone a patient might transfer in contemplation of nursing home care within a few years.
If you arent sick enough for skilled care, you are out of luck once any savings is gone. Nursing homes aint pretty unless one is really wealthy or could afford expensive insurance.
Hassin Bin Sober
(26,335 posts)..... Then claim poor to cheat the system. Then blather on at every family gathering about Democrats and welfare cheats and moochers.
Hoyt
(54,770 posts)DURHAM D
(32,611 posts)"Medicare covers a limited number of days."
Not if a living spouse has assets, as was the case with my parents.
Hoyt
(54,770 posts)if you have Medicare.
https://www.elderlawanswers.com/medicares-limited-nursing-home-coverage-12131
After that, Medicaid is likely who will pay for most of us. Again, for Medicaid, you gotta spend all your assets including a spouses in certain circumstances. Again, there are exceptions like for a spouse still living in the home, or the patient has a decent chance of returning. In the latter case, if patient dies in nursing home, most states today will attach the house to pay for Medicaid payments made on behalf of the patient. Again, there are exceptions.
DURHAM D
(32,611 posts)So... nothing.
Hoyt
(54,770 posts)is not all its cracked up to be.
MarcA
(2,195 posts)while opposing "welfare" and "entitlements" for the "undeserving".
Much twisted logic and excuses when the reality of the system hits home.
KentuckyWoman
(6,692 posts)Medicaid kicks in if income and assets are low enough.
A friend with advanced Alzheimers is paying $6000 a month. Medicare plus her supplemental paid for 100 days. Then the full amount is on her. Her kids are allowed to take an equal amount of her assets to put in escrow every time they pay the bill. It will be about 4 years before she runs through (half) her assets. (the other half can be put aside to benefit her children at her death) If she remains on the earth at that point, the facility will help her apply for medicaid.
Hermit-The-Prog
(33,409 posts)Follow the big money; it's not going to the people doing the work.