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Nursing homes care for dependent elderly people, but they are expensive. For example, a semi-private room in a nursing home costs $7,908 a month or $260 a day, according to Genworth’s Cost of Care Survey. Even here, the rates might vary according to location and service. Planning therefore is very crucial.
Paying for a nursing home is often tough for families. Hence, there is a need to appreciate how Social Security benefits can assist families. These benefits cover some costs, but not all. We may need Medicaid or SSI for the remainder. This guide is on how to utilize Social Security for nursing homes and ensure that you derive maximum benefits.
The Cost of Nursing Home Care in the US
Living in a nursing home in the US is quite costly, especially for people on a fixed income. Costs vary based on medical demand, special services, and room type. In America, nursing home care averages $7,800. Understanding these costs is vital for long-term care planning. In contrast, the average Social Security benefit is just $1,827. Relying only on Social Security may not cover all costs.
Social Security Benefits: What They Cover
Social Security benefits aid with basic costs but often fall short of nursing home care. They provide a monthly income to retirees, the disabled, and their families for housing, food, and medical needs. However, nursing home care expenses typically exceeds Social Security coverage.
Social Security provides some support for long-term care, but often more is needed. Medicare covers short stays in certain cases. Meanwhile, Medicaid aids those with low income and assets. Check Medicaid eligibility. Consider long-term care insurance. Explore ways to boost Social Security benefits. This approach helps reduce costs and ensures necessary care without draining savings.
Read: Medicare Tax
Supplemental Security Income (SSI) and Medicaid
Low-income families can get SSI assistance funds. It is provided for the aged, blind, and disabled who meet certain criteria. Unlike social security, SSI payments do not depend upon a work history.
SSI beneficiaries may equally qualify for the Medicaid program, which provides medical services to the poor. This is vital for covering nursing home costs. People on both SSI and Medicaid can significantly lower their nursing home costs. Medicaid usually pays for most expenses, especially for shared rooms and basic care.
Read Related Article: Do Nursing Home Residents on Medicaid Need to File Income Taxes?
Using Social Security for Nursing Home Expenses
Using Social Security benefits for nursing home costs has limits. These benefits often cover only part of the total expense. They can help with basic fees like room and board. However, extra costs for medical treatments, personal care, and amenities usually arise.
Some people might use all their Social Security payments for nursing home expenses. Others may combine these payments with savings and additional benefits. This approach helps cover the total cost. A budget that includes all income sources can help families manage high costs.
Read Related Blog: Personal Loans For Seniors On Social Security
Long-Term Care Insurance: An Overview
Long-term care insurance pays for help in a nursing home. It covers the care that such facilities commonly provide. Insurance includes in-home care and assisted living services for a person who cannot perform basic daily functions.
Social Security offers a steady income. But, long-term care insurance specifically covers high long-term care costs. Policyholders get reimbursed for nursing home expenses. This eases the financial burden.
Veterans Benefits for Nursing Home Care
US military veterans qualify for additional assistance with nursing home charges. Veterans and their spouses who require long-term care can receive VA benefits like Aid and attendance.
Veterans may be eligible for care offered in VA facilities, in state homes, or through community contracts. These options often lower costs, offering specialized care for less or for free.
Exploring State Assistance Programs
In fact, a number of states have programs in place that offer aid for the nursing homes expenses. These include expansion programs of Medicaid, state-sponsored grants, and low-income grants.
The elderly or disabled in some states may also qualify for Medicaid special mailing campaigns. These waivers allow care in nursing homes and have limits on income and assets.
Read: Cash Advance for Social Security Recipients
Budgeting and Saving Tips for Nursing Home Care
Here are some tips to budget effectively:
Create a Budget: List all nursing home costs, like room, meals, and medical care. Make a monthly budget, including Social Security and other incomes. Focus on essential services and cut unnecessary ones.
Explore Medicaid: Medicaid can cover long-term care for those who qualify. Check eligibility based on income and assets. It significantly lowers nursing home costs.
Consider Long-Term Care Insurance: Look into long-term care insurance early. It covers nursing home costs, easing the burden on Social Security. Buy it before health issues make it too expensive.
How Beem Can Help You Manage Nursing Home Expenses
With the rise of costs in healthcare, genuine care becomes hard to get for families at a good amount. Beem’s platform makes budgeting easy. It offers real-time tracking, payment reminders, and easy access to records.
The simple interface helps you set limits, check bills, and plan for future costs. This gives you control over your finances. Also, Beem integrates with various payment systems. This lets you manage all expenses in one place. Download the Beem app here.
Conclusion
To pay for US nursing home care in itself, there needs to be a viable plan and an understanding of the resources accessible. Social Security can help, but many families also need Medicaid, SSI, or personal funds. These are vital to cover the full costs, which vary by location.
For immediate help, Beem is a great option. It offers quick cash advances for urgent needs. Get help with personal loans, managing finances, taxes, car insurance, emergency funds, and more with just one click!
FAQs on How to Pay for Nursing Home Care with Social Security
Does Social Security cover nursing home costs?
Social Security helps with nursing home costs, but there are limits. It pays about $1,827 on average. However, average charges are between $7,000 and $9,000 per month. So, you might need extra help from Medicaid, savings, or other benefits.
How can Medicaid help with nursing home expenses?
Medicaid covers nursing home care. If you qualify, it pays for most nursing home costs, like room, medical services, and personal care. It is managed by state governments.
Are there state programs that assist with nursing home care costs?
Several US states provide programs that can help to cater for costs incurred in nursing homes. Medicaid waivers, other subsidies, and grants are some of the programs. These programs include which are specifically for low-income older people.
