Long Term Care in Northern Virginia (Reston, Fairfax: daycare, Home Depot, school)

[spencgr]

I would like to point out that a lot (and most of the really good ones) of nursing care facilities have a stepped approach. You don't get to just jump in at nursing care; you had to start at senior care, then assisted living, then nursing.....all at the same facility. Many of the best will not allow you to just come in at nursing.

Also, be very careful as to when your long tern care kicks in. I was dealing with my grandparents going into assisted/ nursing at the same time that I was looking at long-term insurance for myself. I realized that the "qualifications" required for the insurance to kick in revolved around the inability to do some basic life functions. What I realized, at the time, is that my grandmother ABSOLUTELY needed care, but since she could still do the five major functions, she wouldn't qualify for the insurance.

So, while long term care insurance is a great thing; please note that it kicks in when they think you need it; not necessarily when you think you need it.

[Hal Roach]

My parents looked at that type of stepped up care place near Charlottesville. It was 700,000 to move in...then about 7000 per month for an 1100 sf bungalow and meals + a lot of activities. Really a money machine from top to bottom. They decided to simply buy their own single level home with close by amenities. Reminds me of that Royal Carribean commercial....they asked an older lady how she managed to take so many cruises...she stated that it was 100 bucks per day less than the facility her kids tried to stick her in....and she had better access to Doctors, that travel onboard the ship.....and the food was a lot better...

[reebo]

My mom is in an Erickson community. She bought in to independent living in 2006 (two bedroom, two baths) for $380K. The monthly fee was about $1800. She moved to assisted living, about $7500/month. Now she's in skilled nursing, about $13,000/month. Her LTC insurance pays about $5400/month. She has about 1 1/2 years left of LTC benefits.

[spencgr]

Originally Posted by reebo

My mom is in an Erickson community. She bought in to independent living in 2006 (two bedroom, two baths) for $380K. The monthly fee was about $1800. She moved to assisted living, about $7500/month. Now she's in skilled nursing, about $13,000/month. Her LTC insurance pays about $5400/month. She has about 1 1/2 years left of LTC benefits.

When my grandparents died, we actually received most (if not all) of the "buy in" money. It was explained that the "buy in" money was to be used if they ran out of money for the monthly fees, which they never did. I don't know that many communities are like that.

[Hal Roach]

Bankruptcy Hits Retirement Homes

[ChristineVA]

Originally Posted by spencgr

When my grandparents died, we actually received most (if not all) of the "buy in" money. It was explained that the "buy in" money was to be used if they ran out of money for the monthly fees, which they never did. I don't know that many communities are like that.

My friend's father in law is in a place like that (he went there when his wife went to the nursing home that I spoke of above). Anyway, he had the very high "buy in" fee that supposedly he gets back if he dies or moves to another place. They use your buy in fee while you live there to invest. You earn no interest on it and you get it back in the end.

[honobob]

Originally Posted by acgood

can we go back to the beginning? is your advisor not local? their service (fee) should include knowing this sort of information if they are including it in their models

I'm sure the advisor could easily tell the client the cost on average. I'm sure the assignment was for the client to have discussions with either providers, family or friends of exactly what the cost was for a particular level of care and how that looked in reality.

"Yeah, the cousin is only paying $3500 a month but I wouldn't even visit that place much less live there."
Yeah, my friend was paying $10,000 a month for the last 5 years and have gone through their assets and are looking at Medicaid"

[reebo]

Originally Posted by spencgr

When my grandparents died, we actually received most (if not all) of the "buy in" money. It was explained that the "buy in" money was to be used if they ran out of money for the monthly fees, which they never did. I don't know that many communities are like that.

Yes, my mom too. I guess that's how they assure a certain amount of financial responsibility. You can p@ss away the rest of your assets, but erickson still has a good chunk of change (plus the interest it generates) to cover your nut.

[Shelborne_22033]

My elderly mother is living in Greenspring Retirement Community in Springfield. Downpayment 2 yrs ago on a studio apartment was ~$65K, independent living month fee is ~$2300/month which includes 1 meal/day. Plenty of activities, very safe, nice gilded cage.

Assisted living (nursing home) fee is 3x times the cost of independent living. When she passes, her estate will get 90% of her downpayment back.

[Abraham Walker]

I would like to thank everyone for their input. These numbers are shocking, to say the least.

Here's another resource I found to determine the
http://askaw.us/2jJIDTD.



I also stumbled across this "http://askaw.us/CostOfCare2015".



This is my projection when I combine the 2 reports. Also, for the sake of this exercise, I'm going to use the highest rate available to adjust for inflation.

Cost for Assisted Living

29 months - Average A Stay in Assisted Living
x $10,350 - Maximum Monthly rate for Assisted Living
------------
$ 300,150 - Total cost assisted living

Cost for Nursing Home Care

835 days - Average Stay in Nursing Home
x $409 - Maximum month rate for Nursing Home Private Room
-----------
$341,515 - Total cost for nursing home

Total Cost of Care

$ 300,150 - Assisted Living Cost
$ 341,515 - Nursing Home Cost
-----------
$ 641,665 - Total Cost of Long Term Care

Average Length of Long Term Care

29 months - average stay in Assisted Living Facility
28 months - average stay in Nursing Home
------------
57 months or 4 yrs 9 months of care

Plus I'm married, so I'll double the cost projections. $1.2 million dollars to care for use in our last years.

Now it's time to the following calculator to determine http://askaw.us/CalculateLife:



95 years - My Estimated Life Expectancy
- 5 years - length of long-term care
---------
90 years - life before long-term care
- 65 - age of retirement
---------
25 years of life after retirement

I'll talk to my advisor to calculate how much it will cost to maintain my lifestyle for 25 years plus the cost of long-term care.

Originally Posted by honobob

I'm sure the advisor could easily tell the client the cost on average. I'm sure the assignment was for the client to have discussions with either providers, family or friends of exactly what the cost was for a particular level of care and how that looked in reality.

"Yeah, the cousin is only paying $3500 a month but I wouldn't even visit that place much less live there."
Yeah, my friend was paying $10,000 a month for the last 5 years and have gone through their assets and are looking at Medicaid"

This is an assignment to ensure I understand the plan he's creating. How often have you sought the advice of an advisor and did not listen to the advice?