Rising Costs for Seniors: Ann Arbor Senior Care Company Provides Tips to Help Pay for Expenses

ANN ARBOR, Mich. - March 8, 2015 - PRLog -- How much does it cost to grow old in the United States? Many people look forward to retiring with a healthy savings account and dream of spending their days traveling and spending time with their grandchildren. But as seniors are living longer, they are also becoming financially vulnerable when it comes to their ability to meet essential expenses and cover projected costs over their lifetimes.

“Some seniors are faced with a growing financial gap between income and basic needs,” said Charles Williams, President and General Manager of Right at Home of Ann Arbor, a provider of home healthcare in Ann Arbor Michigan. “However, there are resources available to help seniors continue to live independently.”

Rising Costs
Rising healthcare costs are a main concern for seniors. Research has shown that Medicare covers only about half of a senior’s medical expenses, contrary to the common belief that Medicare will cover most costs. Seniors spend more on out-of-pocket healthcare expenses than any other age group and their spending is more than double the average of non-elderly adults, according to the National Center for Policy Analysis (http://www.ncpa.org/pub/ba660). Seniors, ages 65 and older, spend an average of $4,888 annually for deductibles, co-payments, premiums and other healthcare expenses not covered by insurance.

Many seniors also must deal with the costs of home care, assisted living, or nursing homes. The costs associated with senior care can vary greatly depending on the number of hours of service needed each day or week, where you are located in the country and the level of services you need. According to a previous survey (http://www.metlife.com/assets/cao/mmi/publications/studie...) by MetLife, the hourly rates of home health aide workers and respite care providers range from $8 to $40 per hour. Monthly costs vary widely because of the varying time periods that someone may need care. For example, some people use home care a few hours a day while others use home care around the clock. Cost can also vary depending on the services utilized in your home. The cost of assisted living facilities ranges from $850 to $4,000 per month, while the average cost for a private room in a nursing home is $6,400 per month.

Available Resources
There are many options and tools available to help seniors pay for these necessary expenses. One option is the purchase of long-term care insurance. Just like other insurances, with long-term care insurance, policy owners pay a premium for coverage in the event that you will need home care, an assisted living facility or a nursing home in the future. There are many different types of policies that you can choose from, some that even protect against inflation. Of course, the best time to apply is when you are healthy, young and not in need of it.

Long-term care insurance can be an important investment in your future, but it’s very important to have all of the facts before you buy. Before you make any decision on whether or not to purchase long-term care insurance, you should seek the counsel of your financial advisor, elder law attorney or insurance agent to fully review all of the different types of coverage available.

Another option to pay for costs associated with aging is a reverse mortgage, which allows homeowners ages 62 or older to access the equity they have in their home. The lender makes payments to you, the homeowner, not the other way around. Think of it this way: a reverse mortgage gradually reduces the amount of equity you have in your home by the amount of the payments advanced to you, plus interest on the amount advanced, plus any fees you finance as part of the deal.

The money that is accessed can be used to make improvements and modifications for safety and accessibility, pay for home care needs or a variety of other expenses. The funds you receive are likely to be tax-free and will not affect Social Security payments or Medicare benefits. For more information on reverse mortgages, you can call the Housing Counseling Clearinghouse at 1-800-569-4287 to obtain contact information for an HUD-approved housing counseling agency and a list of FHA-approved lenders in your area. AARP also offers information about reverse mortgages (http://www.aarp.org/money/personal/articles/reverse_mortgage_basics.html) you may find useful, including alternatives to a reverse mortgage. Another source of information is the National Reverse mortgage Lenders Association at www.reversemortgage.org.

The Veteran’s Aid and Attendance Benefit is available to help Veterans and their surviving spouses pay for home care and other care services. The assistance is a benefit paid in addition to monthly pension to those who require the regular attendance of another person to assist in bathing, dressing, meal preparation, medication monitoring or other various activities of daily living. This benefit is available to individuals who reside in assisted living communities, personal care homes, skilled nursing facilities and those receiving personal in-home care. For more information on eligibility and qualifications, visit http://www.rightathome.net/seniorhomecare/?p=334 or contact Right at Home of Ann Arbor.

About Right at Home

Founded in 1995, Right at Home offers home healthcare, senior care, and assistance to seniors and disabled adults who want to continue to live independently. Local Right at Home offices are independently owned and operated and directly employ and supervise all caregiving staff, each of whom is thoroughly screened, trained, bonded and insured prior to entering a client’s home. Right at Home’s global office is based in Omaha, Nebraska, with franchise offices located in 42 states nationwide and throughout the world.

About Right at Home of Ann Arbor

The Ann Arbor Michigan office of Right at Home is a locally owned and operated franchise office of Right at Home, Inc., proudly offering senior care to the communities of Ann Arbor, Ypsilanti, Saline, Belleville, Plymouth, Chelsea, Dearborn, Canton, Dexter, and beyond. For more information, contact Right at Home of Ann Arbor at http://www.rightathome.net/washtenaw or by phone at (734) 971-5000.