The time has come for you to move into an assisted living or skilled nursing facility. With this transition comes the question of how to pay for your care. We’ve got the answers to some common questions about financing senior care.
Will Private Pay Cover The Cost Of Senior Living?
Private pay is the most common way to cover senior living expenses. Private pay can include:
- Income like Social Security payments or pension
- Savings or checking accounts
- Stocks and bonds
- Investments
- Assets like your house, boat, or car
Homes are often an individual’s largest asset, and the sale of your home can help finance senior living. Renting your home is another way to make an income if you’re not ready to sell your house. It also eliminates the need to find a realtor and close a deal.
What Is A Bridge Loan?
A bridge loan is a short-term loan that helps pay senior living costs until your house is sold. You may have moved into an assisted living facility, but your house is still on the market. Bridge loans help finance the time between moving into a facility and selling your assets.
Can Insurance Pay For Senior Living?
If you have a life insurance policy, you can sell it to a third-party company for a life settlement. This lump sum of money can help you finance senior living. The lump sums are not usually equal to your life insurance policy’s face value but are often higher than the cash surrender value.
Long-term care insurance is an option for seniors with chronic conditions or disabilities. LTC insurance pays for home care, assisted living, and long-term care facilities. While it doesn’t cover the total cost of care, it does make it more affordable to pay out-of-pocket. There are usually amount and duration limits on LTC insurance.
Can I Use My Veterans’ Benefits?
Veterans’ benefits are an excellent option for financing senior living. Veterans and their spouses eligible for VA pensions may also apply for the Veterans’ Aid & Attendance Benefits. You must meet income guidelines and require assistance with daily living tasks.
Do Medicare Or Medicaid Pay For Senior Living Expenses?
Veterans’ benefits are an excellent option for financing senior living. Veterans and their spouses eligible for VA pensions may also apply for the Veterans’ Aid & Attendance Benefits. You must meet income guidelines and require assistance with daily living tasks.
