Where to Start?
Can you afford placement into a Board and Care or Assisted Living Community? Are you getting the most out of your finances to help cover the costs of daily care? Review your Financial Options below. Call Care Placement with any questions, and we can assist in finding the best financial options for you or your loved one.
Here is a brief explanation of the different funding sources available for long-term care in addition to personal savings and investments.
Medicare covers rehabilitation from illness or injury. It does not pay for long term custodial care. Medi-Cal does cover long term care as long as there is a skilled nursing need such as unstable diabetes or patients who are completely bedridden.
REQUIREMENTS: Must be aged 65+, blind or disabled and h ave no more
than $2,000 in assets. A well-spouse can retain up to $120,900 in
liquid assets, not including the home and other exempt assets, such as
IRAs and retirement funds.
Long-Term Care Insurance
Provides varying levels of coverage for care that is typically not covered by other forms of insurance, such as at home and memory care assisted living. Pre-existing conditions do not qualify.
Supplemental Security Income/State Supplementary Payment
Provides up to $1,173 for basic services to low-income seniors age 65 and older, the disabled of any age, and the blind. Very few assisted living providers accept SSI/SSP. See Medi-Cal qualifications.
REQUIREMENTS: Must be ambulatory and only require basic care.
Veterans may qualify for the Aid and Attendance portion of the VA Pension benefit, which pays a maximum of $2,903 per month tax free for two Veterans married, $2,169 for a married veteran, $1,830 for a single veteran, and $1,176 for a surviving spouse.
REQUIREMENTS: Must be honorably discharged and served during specific wartimes.
Secured Lines of Credit
A line of credit can be secured by certificates of deposit (CDs), equities (stocks), personal property and cash. This is similar to a credit card; money is borrowed against a line of credit to fund long-term care.
A type of personal loan that is used by the borrower to “bridge” or to get through a brief period of financial shortfall (i.e. to pay for senior care until a home sells or until VA benefits are received).
In short, the homeowner is mortgaging their home to the provider, who pays in one lump sum or multiple pay-outs to help cover the cost of assisted living or in-home care. Repayment of the loan is deferred until the owner passes away, moves out or the home is sold.
REQUIREMENTS: Homeowners must be at least 62 years of age. Usually,
one homeowner must remain in the home.
Some forms of life insurance can be borrowed against to fund the costs of assisted living and other care services.
Family Supplement Care Costs
Family members can offset the costs of a loved one's care. By doing so, they may take advantage of the IRS Gift Tax Exemption.
REQUIREMENTS: An individual family member may gift up to $15,000
per person, per year without paying gift tax.
Residents and their families may be eligible to deduct some or all of their long-term care services, including assisted living and home care as unreimbursed medical expenses on their federal tax return.
Prior to admission into a Care Home, the State of California requires this form to be completed by the Primary Care Physician, or attending Physician if in a medical facility, and provided to the Care Home of your choosing.
Move In Checklist
Moving into a Care Community and need to know what to bring? Review our Move In Checklist to aid in your decision on what personal belongings should come with you, and which items are not recommended.
Top 10 Questions to Ask
Use this form to assist in screening care homes during your visits so you can gather key information to make the best decision for your loved one.
Home Safety Assessment Checklist
Is your loved one’s home safe and free of tripping hazards? Review the Home Safety Assessment provided by the Department of Health and Human Services to see if any modifications are needed.
Start your search for care options here.