The senior living community recruitment drive floods retiree mailboxes with glossy pamphlets showing spacious apartments, fancy dining rooms, gyms and swimming pools.It looks great but look before you leap.The choices abound, but how do those of us nearing retirement cut through the chatter choose a senior living community that works for us.And probably most important of all, what happens if you run out of money?Some tips from the experts:Do the ResearchChoosing a senior living community is a big decision that requires thorough research and financial planning, says Tom Mathews, a Certified Financial Educator and author of the new book Change Your Literacy Change Your Life.
By understanding the types of communities available, such as independent living, assisted living, and memory care, you can better evaluate which one suits your needs.Additionally, he says, familiarize yourself with local, state and federal regulations to ensure that you select a safe and compliant community.Financial considerations, such as costs, payment options, and potential financial aid, should be carefully reviewed to make an informed choice that ensures a comfortable and secure retirement, Mathews notes.The research process can be daunting, says Kelli Smith, director, financial planning at Edelman Financial Engines.You should understand the current need as well as future potential need, which helps narrow down the search to the communities that are most likely to offer what you need, she says.
Also, Smith adds:Do a basic web search of your area (some states have websites dedicated to assisted living resources)Get referrals from friends and family or from physicians and other healthcare providersNarrow down communities and do more online research.Many will offer information about the cost and even calculators on how to pay.Make sure you read reviews.You find out the little things not mentioned on websites.Review fees and other costsMake sure you understand and review fees and other costs.
Research the upfront entrance fees required, says Smith.These fees prepay for your care and are often substantial.Since they can vary widely between communities and are sometimes non-refundable, its crucial to understand what youre paying for.Evaluate monthly costs as well, Smith urges.
Monthly fees can differ based on the level of care required, type of housing, and whether you are renting or buying.They can also increase if you need more intensive care.Budget for these potential increases; compare the average costs of $500 to $3,000 across different facilities.Visit the Sites Do site visits.
Take the time to visit potential communities and observe the facilities, staff, and residents, says Mathews.Ask questions about services, amenities, healthcare options, and daily activities to get a comprehensive understanding of each communitys offerings.Check with your Experts Talk to your financial planner and healthcare professionals.A financial advisor can help you determine whether a senior living community is a viable option for you, says Smith.
They can help you understand the long-term implications of each contract type and ensure that your retirement savings and income can support your living decision, she says.They can provide valuable insights and help you navigate the complexities of the decision-making process, adds Mathews.Check your CheckbookOne big concern among retirees is always running out of money.Thats one reason you need to have a budget in place and stick to it.Thats also the reason you need a financial professional involved.
Regularly review your financial situation with your planner to adapt to any changes in fees, care needs, or personal circumstances, says Smith.This proactive approach will help ensure you can comfortably afford your chosen lifestyle in the community.But if you do run out of money, there are options: downsize to a smaller, less expensive facility; finding part-time work to get additional income; or seek assistance from family members or all of the above.By being diligent and proactive, you can find the best fit for your needs and lifestyle, ensuring a fulfilling and worry-free retirement, Mathews says.YOUR TURNHave you moved into senior housing? Any tips to share? Let us know in the comments!Rodney A.Brooksis an award-winning journalist and author.
The former Deputy Managing Editor/Money at USA TODAY, his retirement columns appear in U.S.News & World Report and SeniorPlanet.com.He has also written for National Geographic, The Washington Post and USA TODAY and has testified before the U.S.
Senate Special Committee on Aging.His book, The Rise & Fall of the Freedmans Bank, And Its Lasting Socio-economic Impact on Black America was released in 2024.He is also author of the book Fixing the Racial Wealth Gap.
His website iswww.rodneyabrooks.comYour use of any financial advice is at your sole discretion and risk.Seniorplanet.org and Older Adults Technology Services from AARP makes no claim or promise of any result or success.
Disclaimer: This story is auto-aggregated by a computer program and has not been created or edited by Senior Savings Deals.
Publisher: Senior Planet ( Read More )
Publisher: Senior Planet ( Read More )
