Senior Care Costs, Coverage & Payment Options

Assisted living costs vary depending on your location and the specific services provided, but the median cost in 2025 is $6,077/month. Many families use a mix of sources to pay for assisted living, like Medicare, long-term care insurance, savings, home equity, or veterans' benefits. Our guide to paying for assisted living breaks it down in more detail and offers options that may help you reduce costs. You can also check out our budget calculator to learn more about what you can afford and explore available facilities in your area that fit your budget.

Memory care is typically more expensive than assisted living because of the special care required by those with Alzheimer's disease and other forms of dementia. The cost also varies greatly depending on location and level of care needed, as well as on the amenities and services offered by the facility. Many families pay for memory care with a range of resources, including long-term care insurance, personal savings, and home equity. Want to estimate memory care costs where you live? Use our budget calculator to explore local pricing and begin planning.

The median cost of a nursing home in the U.S. is $9,555/month for a semi-private room, while a private room costs $10,965/month, according to CareScout data. Your own rates may vary, depending on your location and the facility's amenities. Nursing homes are often one of the most expensive senior living options. Costs vary so widely, making it important to research local costs when planning. Want to estimate nursing home costs where you live? Use our budget calculator to explore local pricing and plan ahead. 

The monthly median cost for nursing home care in the U.S. is $9,555 for a semi-private room, and $10,965 for a private room, according to CareScout data. Costs may vary, however, based on your location and the amenities and services offered by your chosen facility. Many families pay with a combination of sources like personal savings, long-term care insurance, Medicare or Medicaid, veterans' benefits, and more. Want to estimate nursing home costs based on your location and budget? Try our care budget calculator.

Caring.com's senior living data indicates that independent living is available nationally for an average cost of $3,000/month. This cost varies greatly depending on location, apartment size, amenities, and specific care needs. Independent living does not generally include personal care, such as help with the activities of daily living (ADLs) or medication management. Other services, such as transportation or laundry services, may also add to the cost of independent living. Our guide on how to pay for independent living highlights 10 financial options that can help you cover costs.

Multiple programs may support people who can't afford assisted living. Many states have Medicaid waivers, which can cover assisted living care. Veterans' benefits, such as the Aid & Attendance program, provide cash payments to some veterans or their spouses. In some regions, the Program of All-Inclusive Care for the Elderly may also provide assistance. Older adults with long-term care insurance plans may use their benefits to pay for assisted living. Want a full breakdown on possible programs and availability requirements? Check out our guide to financial assistance for assisted living. 

If you have few financial resources, you may think you can't afford assisted living. However, Medicaid waiver programs in many states can help pay for services in assisted living communities. You may also qualify for Supplemental Security Income or veterans' benefits through the VA's Aid & Attendance program. Some facilities in your region may offer sliding-scale payment options or provide other local programs to help senior adults pay for necessary care. A good first step? Use our budget calculator to explore your options.

Medicaid may pay the cost of a nursing home for you or your loved one if you meet the financial and medical requirements. Eligibility requires having minimal income and assets, along with needing a nursing home level of care, as determined by a medical assessment. You can apply through your state's Medicaid office and will need to provide financial and medical documentation. Need help understanding the process and available options? Our guide on how to pay for a nursing home can help.

According to CareScout, the average cost of a home health aide in the U.S. is $34/hour. The Centers for Medicare and Medicaid Services (CMS) has guidelines on what home health care it will cover. Home health care includes skilled nursing and therapeutic services, which may be provided for outpatient surgery recovery, disability, illness, or injury. Medicare will generally pay for up to eight hours of this care a day, for a limited period of time. Need to know more? Explore our guide to home health care costs and the financial assistance available.

Although the VA doesn't have a set amount for in-home care, veterans and their spouses may qualify for programs that provide cash payments. These include the Aid and Attendance benefit and the Housebound benefit, which assist people who need help with their activities of daily living, must stay at home or in bed, or have limited eyesight. The amount of help available depends on the program and the veteran's situation. Want to take a deeper dive into payment options? Start with our guide on how to pay for in-home care.

The short answer is "it depends." Policies differ, and it is important to understand the strengths and limitations of any policy you or your loved one owns. Having said that, most policies will help cover the cost of assisted living or nursing home care up to the policy limits, which may include daily or monthly maximums. Some policies also feature a lifetime maximum, which is the total amount you can receive over time. Have questions about this type of coverage? Our guide to understanding long-term care insurance has the answers.

The number of years you worked, how much you earned, and the age at which you started receiving benefits determine the amount of Social Security benefits you receive. Generally, your benefits increase with your earnings and tenure. Starting Social Security early can reduce your monthly benefit. Expect a larger benefit if you wait til 65 or older — you can begin taking your benefits up to age 70. Want to find out more? Check out our guide to how Social Security is calculated.

Sometimes. There are several requirements for Medicare premiums to be tax-deductible: you must itemize your deductions, your total qualified medical costs must be more than 7.5% of your adjusted gross income, and you must make a profit as a self-employed individual. You are considered self-employed if you are a sole proprietor, partner, limited liability company member, or S corporation shareholder with at least 2% of company stock. Your deductions can include premiums for Part A or B, as well as those for Medigap, Medicare Advantage, and Part D. You cannot use this deduction if you are eligible for an employer-subsidized health plan.