If you are contemplating a move to a nursing home in New York or assisting a loved one in doing so, understanding the associated costs is crucial. The intricacies of nursing home expenses are influenced by multiple factors like location, duration and required care services. But, the costs can significantly impact seniors, and their elder planning.
Understanding nursing home costs in New York
The costs breakdown to Central New York estimated average daily rate of $401 ($146,352 annual), Long Island’s estimated average daily rate of $482 ($176,016 annual) and New York City at $469 and $171,276, respectively. For Northeastern New York, the rate is $435 per day and $158,820 per year. For Northern Metropolitan New York, the rate is $466 and $169,980 respectively, Western Region at $402 and $146,892 and the Rochester Region at $474 and $173,028. These are the estimations of New York State.
Factors influencing rising nursing home costs
Several factors contribute to the increasing costs of nursing home care in New York. First, is the ever-present inflation. The general rise in prices impacts labor, supplies, utilities and other expenses for nursing homes. Next, is demand. A growing aging population and increased prevalence of chronic conditions create a higher demand for long-term care services, driving up costs.
Regulation can also increase costs. Strict state and federal regulations impose staffing levels, infection control measures, safety protocols and reporting requirements. That can increase operational costs for nursing homes.
Litigation can also increase costs and prices. Nursing homes face a higher risk of lawsuits, leading to costly settlements, judgments and increased insurance premiums and legal fees.
Affording nursing home care in New York
Paying for nursing home care can be challenging, but there are options. First, there is Medicare. While Medicare Part A covers skilled nursing facility care, it does not cover custodial or long-term care in a nursing home. Medicaid covers nursing home care for eligible seniors, but asset and income limits may apply, necessitating spending down assets. Veterans may access benefits, including long-term care services, with eligibility based on service history, disability, income, and assets.
You can also include some items in your estate plan, like long-term care insurance. This private insurance option covers some or all the costs but may have limitations and eligibility criteria.
