Senior Living Costs to Consider
When planning for retirement, it’s important to compare senior living costs – specifically the costs between living at home and in a continuing care retirement community (i.e. life-plan community). If you breakdown the costs of each, you’ll find a CCRC can be less and easier to manage when paychecks stop arriving. You’ll also realize the benefits that are built into the CCRC’s costs far exceed those of living at home, especially if you live alone.
Four Factors to Consider When Evaluating Senior Living Costs
1. Home versus CCRC expenses
When analyzing senior living costs, you need to compare home expenses against living in a CCRC. There are many obvious expenses to living at home including:
- Mortgage
- Home warranties
- Property taxes
- Utilities
- Security systems
- Lawn care
- Snow removal
Next include costs for:
- Groceries and dining out
- Home maintenance and repairs
- Owning and maintaining a car
- Entertainment
- Fitness club memberships
Factor those expenses against the services and amenities that are typically included in a CCRC’s senior living costs:
- Most or all utilities
- 24-hour security
- Lawn care
- Snow removal
- Maintenance services
- Local transportation
- Fitness facilities (e.g. gym and pool)
- Community activities (e.g. classes, trips, events)
- Outdoor sporting spaces (e.g. tennis and croquet courts)
Download our brochure, and learn about the services and amenities we offer.
2. Care costs
It’s a fact that the older you get, the more likely you’ll need help with daily living activities, which further stresses the importance of financially preparing for senior living costs. If you plan to depend on family for occasional help, that’s often easily provided, but if you are among the 70 percent of people aged 65 or older who will eventually need long-term care, you should be aware of the senior living costs associated.
According to the Genworth 2024 Cost of Care Survey senior living costs are skyrocketing. The median yearly cost in Maryland for 2024 hit $77,792 for a home health aide and $75,504 for homemaker services. Both are projected to increase to over $100,000 by 2034.
At the same time, the median yearly cost to live in assisted living in Maryland was $70,800. That cost is projected to increase to $95,149 by 2034. Despite the increase in costs in the next 10 years, living in a CCRC is still less than living at home, and it includes care as well as all the amenities that will help you stay healthy, happy and independent for as long as you’re able.
3. Isolation risks
The cost of living in isolation as you age is another factor to consider. Lack of human interaction has long been implicated in a range of health problems from high blood pressure to anxiety and depression to dementia and even early death. According to the Centers for Disease Control and Prevention’s Loneliness and Social Isolation Linked to Serious Health Conditions, the health threat of senior isolation “significantly increased a person’s risk of premature death from all causes, a risk that may rival those of smoking, obesity and physical inactivity.”
For that reason, a CCRC includes an extensive list of activities and events to enjoy in the company of friends. Everything is planned and provided within the community. You can pick and choose from classes, events, games and other activities designed for fun and fulfillment. Discover how a CCRC can help you thrive from our blog, Seven Tips for Healthy Aging.
4. Safety Investments
Although living in the family home during your retirement years may seem the most comfortable and familiar option, it can also become the most dangerous. Slips and falls on steps, uneven flooring, bathtubs and showers as well as the inability to maneuver walkers and wheelchairs in narrow halls and entrances and other tight areas are all threats.
According to the CDC’s older adult falls data, over 14 million, or one in four, adults ages 65 and older report falling each year. About 37% of those who reported a fall required medical treatment or had to restrict their activity for at least one day. Not surprisingly, the fall death rate rose 41 percent from 2012 to 2021.
Safety and accessibility are built into the cost of a CCRC because communities provide all the little upgrades you’ll need as you age. Among these are:
- Wide hallways and entrances
- Brightly lit open spaces and apartments
- Accessible friendly bathrooms (e.g. walk-in showers, higher toilets, grab bars and other safety accessories)
When examining senior living costs, it’s important you consider monthly home versus CCRC costs, care expenses, long-term costs of isolation and investments to make your home safe, if you choose to age at home. Although you may feel fine now, you do need to plan for the possibility of needing long-term care. If you don’t plan for it, you risk not living the retirement lifestyle you want.
