by Matt Clinnard
If your loved one has recently undergone a major medical event, probably the last thing on earth that you want to be thinking about is how they are going to pay for elderly care if they end up needing it. Unfortunately, life is such that it when it rains, it pours, both when it comes to good things and bad.
However, budgeting for elderly care is not very complicated if your parent planned for the possibility well in advance. Of course, even if they did not, most people are able to take care of the cost of elderly care out of pocket because it is significantly less expensive than nursing home care which can end up costing as much as $6,000 per month.
If your parent needs long-term elderly care, they will most likely not be able to pay for it using Medicare. This is because Medicare only covers elderly care following a major medical event or hospital visit and for short periods of time only. If your older loved one has Medicare, you may consider combining Medicare and paying out of pocket for the additional care they may need that the government-funded insurance does not cover.
The story for Medicare is similar to that of Medicaid. In most cases, Medicaid will not pay for long-term elderly care. In addition, whether your loved one qualifies will depend on state individual state regulations.
The best case scenario for covering the cost of long-term elderly care is long-term care insurance. The downside, however, is the fact that most people are not able to pay the expensive premiums that only increase as time goes by.
Elderly care could make a major difference in your loved one's life, significantly increasing their overall wellbeing. Budgeting is difficult, we know, but we find that you will find it to be worth it in the end and your parent will thank you.