You’ve made the heart wrenching decision to place your mom or dad in a nursing home.  While talking with the nursing home representative you naturally ask, “What is this going to cost?”  Be sure you’re sitting down when you get the news. It’s going to be staggering.

According to the 2005 MetLife nursing home survey the average cost of care for a private nursing home room runs a checkbook crushing $70,400.  Costs vary around the country with rural areas less expensive that major cities.  But, even if you are on the lower end of the pricing scale, the head spinning reality is this: if your loved one needs a lever of car only a nursing home can safely provide, you have to find a way to pay for it.

So, how will you pay for nursing home care?

You Will Likely Start Off Like This.
Typically, families begin spending their own savings, first..  At $70,000 per year, it won’t take long to melt through your assets.  Government studies show most individuals start off paying for care with private funds end up penniless in 12 months.  

It’s a fearsome problem.  The less money you have, the more terrifying it is. It’s hard to imagine watching the thousands of hours you’ve scrimped and saved over your lifetime melt away in a matter of months. It’s leaving an ice cube on the kitchen counter on a hot day.  In no time at all, it’s gone.

What You Hope Will Happen After That, But Never Does.
You probably think Medicare will pick up the costs. Most people hope this is the case. The real truth is that  Medicare pays almost nothing toward the cost of nursing home care.  If you’re shocked by this revelation, you’ve got lots of company.  Most Americans wrongly believe Medicare covers nursing home costs.  

At best Medicare covers the charges for skilled care for up to 100 days.  Skilled care means you require 24-hour supervision by a Registered Nurse or a Licensed Practical Nurse as ordered by a physician.  Most nursing home care is custodial (which means care can be provided safely by non-medical personnel). 

For the first 20 days, Medicare pays 100% of the bill.  Medicare requires you to meet strict qualifications to qualify for coverage for the remaining 80 days. Even if you qualify, you must pay a daily deductible of $114.  A Medicare supplement will cover the deductible. Without a supplement, you’ll pay nearly  $9,000 for care.  

A Source That Might Help Out.
The Veteran’s Administration provides nursing home services through three national programs: VA owned and operated nursing homes, Veterans homes owned and operated by the state and through contracts with community nursing homes. Each program has its own admission and eligibility criteria. 

 For more information about qualifying for Veteran’s benefits, contact a social worker at your any VA medical facility in your area. 

The #1 Way To Shift The Burden Of Nursing Home Costs
A properly structured long-term care insurance policy can literally save your financial life.  It’s a blessing if you have it. Unfortunately, less than 10% of Americans over the age of 65 do.

Without it you are totally exposed to the devastating costs of the nursing home.

If nursing home care is around the corner, you won’t be able get covered.  It’s like trying to get house insurance while your house it on fire.  No insurance company will write it.

Here’s The Only Public Program That Pays Long Term Nursing Home Costs.
Which brings me to Medicaid. It’s the only public program that pays for long term care services.  Medicaid has been the financial salvation for literally millions of American families facing the sleep depriving expense of nursing homes. 

Unlike Medicare, which is not affected by your income and assets, Medicaid is needs based.  To become eligible for benefits you must pass strict income and asset tests.  If your assets exceed your state’s limits, you must “spend down” to that limit before the state chips in. 

But, take heart: most families can restructure their assets to qualify for benefits.  Married?  Medicaid’s rules allow you to protect a significant portion of your life savings for your spouse.  Single? You can use Medicaid’s rules to reduce your out-of-pocket nursing home costs and improve your quality of care. 

Qualifying for Medicaid nursing home assistance is not a do-it-yourself project.  The rules are complex, sometimes contradictory and change frequently. 

You’re much safer to consult an elder law attorney skilled in processing Medicaid applications.  To do otherwise you risk losing benefits and creating unnecessary heartache.