The MetLife Mature Market Institute recently published a report showing the rising cost of healthcare across the nation. Findings showed that, for nursing homes, the annual rate was $81,030 for a semi-private room — a 3.7% increase over last year — and $90,520 a year for a private room, which is up by 3.8%. Annual expenditures for assisted living communities rose by only 2.1% from last year at a cost of $42,600 a year.
The report also showed that home care was less expensive than assisted living and nursing homes. The annual cost for having a home health aide or a homemaker was at $21,840 and $20,800, respectively. While the cost of a home health aide remained the same since last year, employing a homemaker cost 5.3% more than last year. However, the additional expenses of living at home were not factored into the equation.
According to the Bureau of Labor Statistics’ 2011 Consumer Expenditure Survey, senior citizens ages 65 and over spent $39,173 on food, clothing, utilities, transportation, mortgage payments and other expenses. As the price of food and gasoline has gone up over the past 12 months, these costs and those associated with home health care will exceed that of assisted living.
Assisted living can be a great solution for people who do not require the full services of a nursing home and offer a less expensive alternative to home health care. They also allow seniors to save on the expense and hassle of owning and maintaining a home.
When figuring out the numbers, the cost of an assisted living facility is favorable compared to living at home. Seniors who live at home must buy their own food and pay the mortgage or rent, utilities (phone, cable, heat, electricity) and, if applicable, home health care. For those living in a condominium, the cost may be higher because of maintenance fees. In order to save money, many seniors living at home have to cut back on social activities and entertainment.
For assisted living facilities such as McPeak’s, the monthly cost includes food, utilities, housekeeping and on-site personal care. There are no additional out-of-pocket expenses for the residents or their families to pay.
“McPeak’s Assisted Living is a great value because you, the resident, or your loved one receives the benefit of the optimal level of healthcare in this setting,” Mr. McPeak said. “Combined with the attention and personal care given by the trained staff and the heartfelt empathy of the administration, McPeak’s is an unparalleled choice as an assisted living residence in a boutique-style setting.”