By Nataly Mayne | AMAR Association
Some of the data listed on this article might sound alarming: we promise you we’re not trying to scare you. It is extremely important that if one wants to age in place and peace, we understand what the expenses of that will be so that we prepare on time and, when the time comes, we can retire with as little as unexpected expenses as possible.
According to a Cost of Care survey in 2009 (Genworth, 2019), up until 2030, 7 out of 10 baby boomers will be requiring long term care. This is because every day until that year, 10.000 people will be turning 65 years old. That can only mean that long term care services will be increasing in demand and that can only mean that the prices will follow lead. What are the prices we are to expect? According to this same survey, prices for In-home Care vary from $4,290 to $4,385, depending if you’re going for homemaker services or home health aide.
When it comes to Community and Assisted Living, one adult health care costs around $1,625 and an assisted living facility is around $4,051. However, the price alarms go off when we see how much a nursing home facility is: these range from $7,513 to $8,517, depending if you’re looking for a semi-private or a totally private room.
But a nursing home isn’t one of the most recommended options regardless, so as much as the prices seem scary, we have some other options for you to review. Michelle Singletary, for the Washington Post (Singletary, 2019), mentions that, even as her father-in-law had been saving up all his life, they really tried to not only stretch that fund over the years but also keep him comfortable as he aged. He was assisted with In-home Care for a few hours a day during several years until he was diagnosed with cancer. Then, they decided to keep his favorite aide by his side while he had to stay under hospice care.
Singletary also mentions that, while the prices were also alarming (a yearly cost of home-health aide services are around $52, 624, considering they charge $23 an hour), it was money well spent being that his father-in-law not only spent his last years accompanied most of the time by his family members, but also by the time he passed away, his home-health aide was basically family to them too.
It is important to remember that not everyone has the same relatively easy situation when it comes to caring for your parents. In a related article also for the Washington Post (Singletary, Washington Post, 2019), a reader shared her experience with the prices of a hospice:
“I was so stressed every day that he was alive,” she wrote. “I thought my dad would die in three days and I would’ve saved a lot of money. But he kept living. Every day he was alive was costing me so much money that I wished he would die already. And that’s a horrible thing to think.”
I think we can all agree that these are not easy words to say, especially if it’s about one of your parents. The reality is that, for many, none of these prices are affordable or even realistic. It is important that from early ages we start to analyze how we want to age, how much will that cost, and what changes we are to be made in order to accomplish this. One of the things we also need to consider is where we live or where we would like to age. A fantastic tool that Genworth Financial has developed, helps you with calculating the prices of any service you would like to get, depending on your area. You can calculate from in-home health aide all the way to private rooms on a nursing facility. This is extremely helpful for one to prepare for those expenses and not be caught surprised.
All in all, while the individual needs of each person will determine the type of care that they need, the most affordable option for the years to come will be in-home health aide. But even if it is the most affordable, that still means that it’s important to build a culture around preparing for retirement. Many of our articles cover plenty of topics around that, so don’t worry! We have you covered.