The Cost of Senior Living: What Can I Afford?

senior man enjoying family time

Are you interested in spending your retirement in an invigorating and convenient setting? Do you have health challenges that are becoming increasingly difficult to manage at home? No matter your circumstance, it’s common to begin thinking about how a senior living community could fit into your future.

Every senior’s needs and lifestyles are different. 

Two of the most important questions to ask yourself and prospective senior care communities are, “What is the cost of senior living?” and “Will I be able to afford it?”

Not every senior living community costs the same, but at Wyndemere, our Life Plan Community offers contract options that work with your budget.

Read on to find out how the cost of living at home compares to senior living, what’s included in your monthly costs if you choose to move to a Life Plan Community, and insight into how to afford higher levels of care.

Comparing the costs of living at home vs. a senior living community

What does it currently cost you to live at home? You may have already paid off your mortgage, but there are always monthly costs associated with being a homeowner, including:

  • Property tax
  • Utilities
  • Home insurance
  • Cable/internet
  • Indoor and outdoor home maintenance
  • Home repair, often unexpected and outside the budget
  • Groceries
  • At-home care

Add up these expenses and see how they stack up against senior living. What you’re currently paying for is often included in either the one-time entrance fee or in your monthly fee, depending on the contract you choose.

And, if you choose to sell your home before moving like many seniors do, you’ll find even more flexibility in your senior living budget.

Consider every aspect of homeownership in comparison to senior living. At Wyndemere, you’ll be able to avoid fluctuating and unpredictable costs and enjoy a maintenance-free lifestyle. 

Next, we’ll break down the different contract types at a Life Plan Community, also called a Continuing Care Retirement Community (CCRC). 

senior woman in the pool

What is the cost of a Life Plan Community? 

As we’ve stated, the cost of every Life Plan Community differs. Costs depend on the type of contract you choose, choice of senior housing floor plan, and levels of care needed. 

Get the details of each contract type to figure out which one will work best for your budget, lifestyle and healthcare needs. 

Type A (LifeCare) – A Type A contract offers the most security, so because of that benefit, one-time entrance fees and monthly costs are higher than other contract types

The most important aspect of this contract is that residents are guaranteed a place to live and access to a full continuum of care services without the threat of rising healthcare costs. If your financial resources run out, this is all still guaranteed.

A Type A contract covers the residence and community services and amenities for those in independent living. Then it covers unlimited care costs within assisted living, memory care, skilled nursing and rehabilitation, if ever needed.

This is the type of contract you will find at Wyndemere. 

Type B (Modified) – A Type B contract comes at a lower entrance fee and monthly cost than a Type A contract. If higher levels of care are needed in the future, the resident will be responsible for some of the cost.

A Type B contract also includes housing and community services and amenities.

Type C (Fee-for-Service) – A Type C contract operates on a care-as-needed basis with the lowest entrance and monthly fees. If additional care is needed in the future, residents’ monthly costs will increase to the current market rate for healthcare services.

A Type C contract includes housing and community services and amenities, but any short- or long-term care will need to be paid for separately.

Now that you understand the different contract options offered at a Life Plan Community, including Wyndemere’s LifeCare contract, we’ll answer another frequently asked question about how to afford senior living.

Does insurance cover the cost of senior living?

There are other ways to pay for some aspects of senior living outside selling your home or spending your entire savings. If you need care, insurance may provide some monetary relief.

Does insurance fully pay for assisted living or other long-term care services? Typically not, but costs vary by plan:

  • Medicare only pays for short-term care, so it won’t cover the full cost of moving to assisted living. However, it may cover some of the assisted living services received at the community. 
  • For low-income seniors in certain states, Medicaid will offer some payment assistance for services included in assisted living or memory care.
  • Private health insurance may cover some skilled nursing or healthcare services, but usually only in the short term.
  • Long-term care insurance only goes into effect when a resident can no longer perform activities of daily living (bathing, dressing, feeding, medication management). This option provides more benefits than other insurances but comes at a higher premium. 

The value of senior living

The sticker price of senior living can be shocking at first, but once you realize just how much is included – including the safety net of a plan for future care – most seniors are impressed with the lifelong value.

On-site care services, convenient amenities, home maintenance, and endless possibilities to pursue new interests may be more important to you than staying in your home. 

Find every comfort in the cost of senior living.

At Wyndemere, seniors reap the rewards of exceptional living. With our LifeCare program, you can pay for guaranteed care through two different payment options, both offering refundability. The value of senior living at Wyndemere is unmatched. Learn more about how our worry-free lifestyle makes each day easier.