Let’s face it. It can get financially stressful to pay for senior care in the United States. This is why most people would turn to savings and other forms of payment to pay for memory care. Memory care is a long-term care option for loved ones, which means that it’s highly recommended for you to have a steady source of income or monetary funds in order to make payment. If you’ll like to be better prepared and look into the various options before committing to senior care, here are some ways you can pay for memory care.
Social Security
Social Security is a social insurance program that most Americans are entitled to. If your loved ones have already retired and are currently receiving social security benefits, that income can be used to pay for memory care. What’s more, loved ones who are diagnosed with Alzheimer’s and other forms of dementia before retirement age are entitled to another benefit known as the Social Security Disability Insurance. This insurance is part of the Compassionate Allowance program and helps to relieve some financial burden off your loved ones’ shoulders.
Veterans Benefits
Have your loved one served in the army? If yes, make sure to check the wide range of healthcare services provided by the U.S. Department of Veterans Affairs, specifically the VA Aid and Attendance program. This particular program provides benefits for veterans, pension recipients, and their spouses, and can aid in financial funding for memory care. However, there are a few requirements your loved ones have to satisfy in order to be eligible for the VA Aid and Attendance program. They must meet at least one of three requirements: requiring assistance for daily responsibilities like bathing and feeding, suffering from mental and physical disabilities, and being mostly bedridden. For veteran pensions, your loved ones must either be aged 65 and above or are permanently disabled. If your loved ones meet those requirements, then they should be able to apply for veterans benefits to pay for memory care.
Various Retirement Savings
Another popular way to pay for memory care is by retirement savings plans. Plans like 401(k), IRAs, and a pension plan are increasingly used to fund long-term senior care as the loved one does not have to reach retirement age in order to be eligible. What’s more, these requirement funds are generally liquid, which means that they are easy to obtain and can be deducted year by year for your loved ones’ care needs. However, how accessible it is to receive those funds depend on the financial situation of your loved ones. Regardless, these savings plans can be used for many medical expenses, from senior care to a wide range of medical services. If your loved ones currently live with Alzheimer’s or dementia, they can even deduct those funds at an early stage without paying for withdrawal penalties.
Home Equity
If your loved ones are planning to downsize, the best option is to sell their homes. For many people, our homes are our largest investments, so the funds received after selling them can be used to pay for memory care. The remaining funds can either be kept for savings or used to pay for other necessary expenses.
