Senior housing is a hot-button topic, especially with rising housing costs. There are a variety of factors that help determine the cost of senior housing, such as the location and the level of care that’s needed. Because of this, the price can range between $1,500 and $10,000 a month. The average monthly cost for senior housing in the US is $4,500.
Since many seniors are living on fixed incomes, the ability to pay can be a major concern. Some might wonder if they should empty their bank accounts and retirement savings to cover the cost or seek outside resources. Unfortunately, Medicare likely won't be one of those resources.
Medicare and Senior Housing
Medicare does not pay for most of the costs related to senior housing, such as assisted living and long-term care facilities. It will, however, pay for certain types of assistance, such as home health care or a skilled nursing facility.
Generally, Medicare Part A covers hospital care, hospice, home health, and skilled nursing care only under certain conditions. As for senior housing, Medicare covers residency in a nursing home for a short period of time as long as custodial care isn’t the only type of care that you need. Certain conditions must be met, such as:
The residence must be a certified skilled nursing facility
- Your care must be medically necessary (nursing services, therapy, etc.)
- You had a prior hospital stay of at least three days
- You must be admitted to a nursing facility within 30 days of a hospital stay
- You must be 65 years old or older
Once these conditions are met, Medicare will pay for some of your fees for up to 100 days:
- 100 percent for the first 20 days
- You pay up to $140 per day, and Medicare will pay the rest from days 21 through 100
After this time, it is your responsibility to pay for your care. If you are admitted to hospice care, which is also long-term, Medicare will only cover it if you have a terminal illness and are not expected to live more than six months. This plan is not the best solution for those seeking senior housing or long-term care.
Medicare and Disabled Housing
Much like the coverage available for senior citizens, Medicare does not provide assistance for long-term housing needs for persons with disabilities. If you are under 65 and disabled, you can enroll in Medicare without paying premiums and receive the same benefits.
Two Options: Medicaid, Veterans Aid
Even though Medicare doesn’t cover most housing costs for the elderly or disabled, there are other government entities with programs to help.
Medicaid: This government assistance program can be used to pay for long-term nursing home care throughout the United States. In some states, Medicaid can be used to pay for assisted living and alternatives to nursing homes.
Veterans Assistance: U.S. military veterans may be eligible for aid if they meet certain conditions. They can receive a basic pension, housebound benefit or assistance daily.
