Although the cost of many senior living communities varies widely, you can typically find an option that fits within your budget. Many seniors use private family funds to finance most of their senior living expenses, but there are other options to explore.
Consider these five ways to pay for senior living during your search.
How Can I Pay for Senior Living?
1. Check eligibility for Veterans’ benefits
Qualified Veterans and surviving spouses may be eligible for monthly benefits. The U.S. Department of Veterans Affairs provides these financial benefits through the Aid and Attendance program. According to the VA website, you may be eligible if at least one of the following requirements is met:
- You depend on assistance to perform daily activities, like bathing, eating, or dressing
- You have to stay in bed for the majority of the day due to an illness
- You require care in a nursing home due to mental or physical decline from a disability
- Your eyesight is limited to 5/200 or less in both eyes, even with glasses or contact lenses; or concentric contraction of the visual field to five degrees or less
Individuals who qualify for this benefit earn an Aid and Attendance allowance in addition to their normal monthly VA pension.
2. Use home equity or a bridge loan
If you own your home, you can explore reverse mortgage options or apply for a bridge loan to help cover senior living costs. It’s important to consult a financial advisor when weighing your choices. You’ll also want to pay close attention to the interest and fees that can be accrued with the loan.
- Reverse mortgage – used when a spouse or adult child remains in the home while their loved one moves to a senior living community for additional care
- Bridge loan – used short-term when you’re waiting to sell a home, receive Veterans’ benefits, or need immediate funds for senior living care
3. Review long-term care insurance policy
If you or your loved one purchased long-term care insurance, you’ll want to review the policy to see what is covered. You can contact your insurance company and also discuss your policy with the senior living community staff.
Most long-term care policies cover services that assist with activities of daily living in an assisted living or memory care setting.
Activities of daily living typically include:
- Transferring in or out of a bed or chair
4. Total savings and investments
Take inventory of all your savings, checking, and retirement accounts. Factor in any investments, pensions, cash, and property that can be sold. Create a list of your accounts to set a budget for your future senior living expenses.
5. Convert life insurance policies
You can convert your life insurance policy into a long-term care benefit if you or a loved one requires advanced, ongoing care. To do so, you’ll need to transfer ownership to an administrator who makes payments directly for the care services.
Another way to use life insurance policies toward senior living costs is through a life settlement. You or your loved one can sell the policy in exchange for cash to an investor through a life settlement broker. The investor takes responsibility for the premiums and serves as the beneficiary.
There are pros and cons to life insurance conversions and settlements so it’s essential to meet with a financial advisor to make an informed decision.
Life at Sonrisa Assisted Living
If you’re looking at options for senior living, we invite your family to visit Sonrisa Assisted Living, designed to support your loved ones to live their highest quality of life.
We offer studio and one-bedroom private apartments for our assisted living residents as well as private or shared memory care suites for those living with Alzheimer’s disease or dementia.
Our memory care residents are cared for by our compassionate and specially trained team — who meet them wherever they are in their journey with patience and kindness. The residents also have access to customized activities, programs, and an elevated secured courtyard.
Our amenities and services encourage our residents in assisted living to engage with others, remain as independent as possible, and be reassured that help is available whenever needed.
In addition to our personalized services, we offer:
- Assisted Living dining room, bistro and two sitting lounge/living room areas
- Memory Care living and dining room
- Elegantly designed common areas
- Fitness and wellness center with physical and occupational therapy room
- A commercial kitchen
- Barber and beauty salon in both assisted living and memory care areas
- 24-hour on-duty care staff
- Secured community
- Art room
- Multipurpose room
- Large state‐of‐the‐art theater
- A large secured Assisted Living and separate Memory Care courtyard with walking paths
- On‐grade parking for immediate use of visitors and staff
- Dog Park
If your family is considering retirement living, we hope you will visit Sonrisa Assisted Living. We are a trusted resource and are here to answer any questions. Contact us today to learn more and schedule a tour.
You may also download our complimentary brochure to get additional details about Sonrisa Assisted Living.