The costs of long-term care vary greatly depending on where you live and the type of care you receive. Many people think that home care usually costs less than nursing home care. However, care at home can cost just as much, if not more than nursing home care. It depends on what type of care you need in your home, and for how many hours per day.
What will the future cost of long-term care be?
When planning for your future long-term care expenses it is important to not only note what the cost of care is today, but what it could be in the future. The projected growth rate for long-term care is 5.8% according to "Health Spending Projections Through 2013," Office of the Actuary, Centers for Medicare and Medicaid Services, Health Affairs- 2/11/2004.
This means that in 20 years the cost of long-term care could triple. So if you are 60 years old today and you live in an area where the annual cost of care is $61,116 now, the cost in 20 years could be as much as $183,348. Imagine what your future expenses could be if you live in a higher cost area!
Ancillary Costs
Besides the normal daily rate a nursing home will charge you or the hourly rate a home care agency will charge you, there are always going to be ancillary costs you should plan for. In a nursing home, additional expenses could be diapers, laundry, medications, and other incidentals. In your home, there are additional expenses like safety devices (i.e. grab bars near the bathroom and toilet, and maybe a ramp for the stairs).
Human Costs
If a family member decides to provide the care rather than paying a professional, there are many human as well as financial costs to consider. Your family may or may not be aware of these, or be prepared for them. If your plans are to save the expense of paying someone to care for you and rely on a family member instead, you need to consider the costs that they may pay - financially, physically, and emotionally.
More than 50 million family caregivers in this country provide care for a chronically ill or aging family member or friend. It is estimated that family caregivers provide some $196 million in services to America's overburdened health care system.
2004 National Family Caregivers Association and the National Alliance for Caregiving
Financial Costs
If you rely on family members to take care of you, it is important to consider the financial costs they may incur. They may be more than willing to take care of you, but may be unaware there may be a financial cost to them. The financial cost to them could be very high. If they currently work, they may need to work fewer hours, or even give up their jobs altogether.
"The bulk of caregiving is performed by women, and two-thirds of the caregivers are employed full or part-time." Challenged to Care: Informal Caregivers in a Changing Health System, Health Affairs, July/August 2002
Physical Costs
Providing long-term care is hard work. Family members may become exhausted from the long hours of care giving. If you had a stroke and could not bear your own weight it could be very difficult, if not impossible, for a family member to lift you in and out of bed, especially if your caregiver were your spouse and you were both in your 80's! If you have Alzheimer's and require 24-hour care, it can be very exhausting for a family member to stay up all night and during the day. Your family caregiver couldn't do that for too many days in a row!
Emotional Costs
The emotional toll caregivers experience is another cost your loved ones may pay in providing care to you. If you are relying on a family member to take care of you, it is important to understand the type of care you may be asking them to provide. You may be thinking that the extent of the care is helping you in and out of bed, assisting you with meal preparation, or driving you to the doctor. But, what if you need more care than that? Will it be possible for the friend or family member to handle more extensive care?
What will the future cost of long-term care be?
When planning for your future long-term care expenses it is important to not only note what the cost of care is today, but what it could be in the future. The projected growth rate for long-term care is 5.8% according to "Health Spending Projections Through 2013," Office of the Actuary, Centers for Medicare and Medicaid Services, Health Affairs- 2/11/2004.
This means that in 20 years the cost of long-term care could triple. So if you are 60 years old today and you live in an area where the annual cost of care is $61,116 now, the cost in 20 years could be as much as $183,348. Imagine what your future expenses could be if you live in a higher cost area!
Ancillary Costs
Besides the normal daily rate a nursing home will charge you or the hourly rate a home care agency will charge you, there are always going to be ancillary costs you should plan for. In a nursing home, additional expenses could be diapers, laundry, medications, and other incidentals. In your home, there are additional expenses like safety devices (i.e. grab bars near the bathroom and toilet, and maybe a ramp for the stairs).
Human Costs
If a family member decides to provide the care rather than paying a professional, there are many human as well as financial costs to consider. Your family may or may not be aware of these, or be prepared for them. If your plans are to save the expense of paying someone to care for you and rely on a family member instead, you need to consider the costs that they may pay - financially, physically, and emotionally.
More than 50 million family caregivers in this country provide care for a chronically ill or aging family member or friend. It is estimated that family caregivers provide some $196 million in services to America's overburdened health care system.
2004 National Family Caregivers Association and the National Alliance for Caregiving
Financial Costs
If you rely on family members to take care of you, it is important to consider the financial costs they may incur. They may be more than willing to take care of you, but may be unaware there may be a financial cost to them. The financial cost to them could be very high. If they currently work, they may need to work fewer hours, or even give up their jobs altogether.
"The bulk of caregiving is performed by women, and two-thirds of the caregivers are employed full or part-time." Challenged to Care: Informal Caregivers in a Changing Health System, Health Affairs, July/August 2002
Physical Costs
Providing long-term care is hard work. Family members may become exhausted from the long hours of care giving. If you had a stroke and could not bear your own weight it could be very difficult, if not impossible, for a family member to lift you in and out of bed, especially if your caregiver were your spouse and you were both in your 80's! If you have Alzheimer's and require 24-hour care, it can be very exhausting for a family member to stay up all night and during the day. Your family caregiver couldn't do that for too many days in a row!
Emotional Costs
The emotional toll caregivers experience is another cost your loved ones may pay in providing care to you. If you are relying on a family member to take care of you, it is important to understand the type of care you may be asking them to provide. You may be thinking that the extent of the care is helping you in and out of bed, assisting you with meal preparation, or driving you to the doctor. But, what if you need more care than that? Will it be possible for the friend or family member to handle more extensive care?
