Cost of Long-Term Care
When planning for retirement, many people focus on income, investments, and lifestyle. But there’s one major expense that often gets overlooked until it becomes an urgent need: long-term care. Whether it’s help at home with daily activities, care in an assisted living facility, or round-the-clock support in a nursing home, long-term care can be costly—and those costs are only rising.
Why Long-Term Care Costs Matter
Most individuals turning 65 will require some form of long-term care at some point in their lives. That care might last only a few months, or it could continue for several years. The reality is that many families are caught off guard, both emotionally and financially, when a loved one suddenly needs care. Without a plan in place, the cost of care can quickly drain life savings, impact a spouse’s financial well-being, and create a burden for adult children.
What Does Long-Term Care Actually Cost?
The cost of care varies depending on the type of services needed and where you live. Here’s a look at the national averages:
| Type of Care | Average Monthly Cost |
| Homemaker Services | $6,292 |
| Home Health Aide | $6,483 |
| Assisted Living Community | $5,900 |
| Nursing Home (Semi-Private Room) | $9,277 |
| Nursing Home (Private Room) | $10,646 |
Source: CareScout Cost of Care Survey, July through December 2024
These numbers offer a snapshot of what long-term care could cost today. However, in some areas, especially in urban centers or high-demand regions, these costs can be significantly higher.
How to Cover Long-Term Care Costs
Long-term care insurance helps cover these types of expenses and provides the freedom to choose where and how you receive care. It protects your retirement savings and offers peace of mind knowing that you won’t be a financial burden on your loved ones.
Without long-term care insurance, these expenses are typically paid out of pocket. Medicare offers limited coverage, and Medicaid only becomes available once you meet strict income and asset limits—often after spending down your savings. That’s why many individuals and families turn to long-term care insurance as a way to plan ahead.
If you’re thinking about the future, whether for yourself or a family member, it’s important to understand the costs and consider how long-term care insurance can help protect what you’ve worked so hard to build.