Financing Your Move to Independent Senior Living
If you have been considering independent living as a part of your retirement plan, you likely have wondered if you could afford it. Many adults believe that senior living is simply not within their financial goals. The good news is that independent living is not just for the wealthy. Maintenance-free living with wellness resources and amenities are likely well within your reach.
If you are in the midst of seeing how a retirement community fits into your financial plan, here are a few best practices to consider.
Talk to Your Financial Planner
First things first, make an appointment with your financial planner. Use your time together to talk extensively about your retirement dreams and how those could fit into your financial obligations and assets.
Make the most of your time by writing down questions prior to your meeting as well as compiling a list of your current monthly expenses you have while living at home. Don’t forget to include more than just your monthly mortgage and homeowners insurance payments; also include grocery bills, your gym membership, gas and other transportation costs, utilities, WiFi, and entertainment expenses. Then, compare these costs to the monthly fee you would pay at an independent living community. This comparison will help to guide your conversation with your financial planner.
Look at the Real Estate Market
Keep a close eye on the real estate market in your current area as well as the area you would like to retire in. Even if you aren’t in the position to sell your home yet, knowing the pricing of comparable homes in your area can guide your future decisions for selling or taking on a few projects prior to putting your home on the market.
Not sure about the real estate market? It’s never too early to look for a Realtor you can work with. Look for one that has experience working with retirees.
Understand Your Options, and the Benefits of Each
While you are weighing your costs and your budget goals, remember that you have a choice when it comes to senior living options. Independent living communities, for example, do not always offer the same type of lease terms.
When you search for communities, ask about their payment options and what those fees cover. You’ll be able to begin making a benefits and drawbacks list which will help you make the right decision for now and the future.
Look at Insurance and Other Coverage
Finally, make sure you are aware of any long-term insurance or other benefits you might be carrying. You’ll want to be aware of whether Medicare and Medicaid cover any part of the levels of care offered and if you have secondary insurance or VA benefits that could offset costs of future care in assisted living, memory care or skilled nursing. You can also check if your insurance is in-network.
Tour and Ask Questions
The best way to ensure your move to a retirement community suits your financial goals is to ask plenty of questions when you tour prospective communities. Ask about fees and what those fees cover, as well as what additional fees you might expect during your time living there.
Here at The Glen, we are happy to answer any questions you might have as you make your decision. Contact us to schedule a tour or phone call.