Rising Costs Should Prompt LTC Conversations

The cost of long term care, which is is outpacing inflation, it creating significant financial planning challenges for the nearly 12 million Americans who need long-term care services. The cost of in-home care continues to rise, though at a more moderate rate of growth. This is good news for consumers as almost three quarters of people who need long term care prefer receiving it in their homes, according to the Genworth 2014 Cost of Care Survey. Nationally, the 2014 median hourly cost for the services of a homemaker is $19 and $19.75 for home health aide hired from a home care agency. Homemaker costs have risen 1.2% a year over the past five years. Home health aide services have risen 1.32% a year. The costs of assisted living facilities are rising much faster. The median annual cost for care in an assisted living facility is $42,000, which is an increase of 4.29% annually over the past five years. The comparable cost for a private nursing home room is $87,600, which has increased 4.19% annually over the past five years. For more information, visit www.genworth.com.