The demographic landscape is shifting rapidly, marked by an unprecedented acceleration in population aging and increased longevity. Each day, until the year 2030, approximately 10,000 Baby Boomers will reach the age of 65, and statistically, 7 out of 10 individuals will require long-term care services at some point in their lives. Planning for these future needs is crucial, and understanding the financial implications is a key first step.
The expenses associated with long-term care are not uniform; they fluctuate significantly based on several factors. These include the type of care setting, the geographical location where care is received, and the specific level of care required by the individual. To help you and your family navigate this complex landscape, we offer the Cost of Care Survey tool. This resource allows you to calculate and comprehend the spectrum of long-term care costs across the United States. Grasping today’s median costs is an essential initial step in effective long-term care financial planning.
Decoding Long-Term Care Cost Trends and Insights
Since its inception in 2004, the Genworth Cost of Care Survey has tracked significant shifts in long-term care expenditures. Below, we delve into how these costs have evolved across various long-term care service options, providing critical insights for planning.
Our detailed research, encompassing 429 cities and towns across all 50 states, serves a dual purpose. It not only empowers individuals and families to plan effectively for their future care needs but also provides policymakers with essential data for forecasting and informing necessary legislative reforms in the long-term care sector.
| Type of service and rate type | 2023 national median values | 2022 national median values | Year-over-year increase |
|---|---|---|---|
| Home maker servicesHourly | $30 | $28 | 7.14% |
| Home health aideHourly | $33 | $30 | 10.00% |
| Adult day health careDaily | $95 | $90 | 5.56% |
| Assisted living facilityMonthly | $5,350 | $5,278 | 1.36% |
| Nursing home semi-private roomMonthly | $8,669 | $8,304 | 4.40% |
| Nursing home private roomMonthly | $9,733 | $9,277 | 4.92% |
Analyzing the Landscape of Long-Term Care Costs: 2004 – 2023
Understanding In-Home Care Costs
$33
National hourly cost for a home health aide in 2023.
In 2023, the median annual expense for in-home care in the United States reached $75,504 for home health aide services and $68,640 for homemaker services, calculated based on 44 hours per week over 52 weeks. The hourly rates varied significantly across states, from a lower end of $22 in Mississippi to a high of $42 in Maine, highlighting regional cost variations that our Cost Of Care Tool can help you explore.
Examining Private Room Nursing Home Costs
$116,800
Annual national median cost for a nursing home private room in 2023.
The national median annual cost for a private room in a nursing home in 2023 was $116,800, based on 365 days of care. Daily rates for a private room showed considerable geographic variation, ranging from $215 in Missouri to $1,137 in Alaska. Utilize our cost of care tool to understand these diverse costs across different regions.
Investigating Assisted Living Facility Costs
$64,200
Annual national median cost for assisted living facility care services in 2023.
In 2023, the median yearly cost for care within an assisted living facility in the U.S. was $64,200. Monthly rates for assisted living varied from $3,800 in Mississippi to $9,563 in the District of Columbia. Our cost of care tool provides a detailed breakdown to assist in your financial planning.
Source: Genworth Cost of Care Survey, data collected September through December 2023.
