The 5 Hidden Costs Of A Retirement Home That Can Destroy Your Budget
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When you decide to move into a retirement residence, you might expect some upfront costs such as a deposit and other application fees. What about monthly costs you didn’t expect? It’s crucial to ask about hidden costs when you are looking for retirement homes. These can quickly push your budget out of reach. Additional Care CostsImage source: Pexels
What happens if I get injured or sick and need extra care? Many retirement homes charge for medical services such as medication management, social service, or therapy. If you are forced to leave the nursing facility and go to a hospital, a leave-of-absence fee may be charged. This is basically a bed-hold fee during your absence. Ask your retirement home’s management what they consider care and whether there will be an extra cost. Cost Increases
Most retirement homes will only increase costs once a year. On your monthly bill, you’ll likely also receive an estimate of the next month’s cost. If you pay privately for your retirement home, some states include a state assessment that will be passed onto the resident. Ask the facility how they handle cost increases.
3. Additional Services
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Even something as simple as doing your laundry at your retirement residence can result in additional charges. Some retirement homes charge for this service as part of their monthly fee, while others charge extra if you need special laundry services like changing sheets daily. You won’t have to pay extra if you ask your nursing home about their laundry services. If you’re planning to use other services in your retirement home, such as hairdressing, there will be an extra charge.
4. Special Events and Transportation Services
Participating in some events and transportation to places like the grocery store, appointments, or the mall aren’t included in regular room and board. Be sure to check if there is an extra fee for classes, parties or excursions. These small charges can quickly add up.
5. Utilities and Cable
Does your monthly bill include utilities and cable? Most nursing homes will cover electricity, heat and air conditioning. However, cable TV and phone service in the room are usually not included. These are seen as luxuries that are typically not included in base monthly costs.
Choosing a Retirement Home that Doesn’t Wreck Your Budget
According to Genworth Financial, the average monthly cost of assisted living in the United States is around $5,511, which translates to roughly $66,000 per year. It can be an expensive expense, with little room for unplanned expenses. Remember that each retirement home has its own unique operating system to help you stay within your budget. Asking more questions before moving in will help you prepare for extra expenses. What are your questions about the costs of retirement homes? Comment below to let us know if we can be of any assistance.
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