When will you know? It sounds exciting.There were actually 3 entrance requirements:
1. Financial and income statement, they want to be sure you have enough assets and income to pay the fees of a long while. They have a trust fund for people who eventually run out of money so they can stay. They do not take Medicaid. I was told that 2 ladies are getting payments from the trust fund because they have run out of money--they are ages 104 and 105!
2. Health requirements. They get all your health records. My DH has to go before the health committee for an interview because he has some chronic health problems. They wait to be sure that you can live independently for at least 5 years.
3. A cognitive test that was surprisingly hard.
When will you know? It sounds exciting.
Is the financial test also for five years?
If CCRC is in such a high demand, why don't they build more?
If CCRC is in such a high demand, why don't they build more?
If CCRC is in such a high demand, why don't they build more?
While we use the CCRC label as a convenience, it is important to not forget there are actually THREE very different offerings in that category--Types A-C. Tyoe A(Life Care) characterized by significant buy-in which locks in your care cost the rest of your life regardless of how much you required. Type C is simply a rental congregate care community with three levels of care priced at market when you require. Type B is a hybrid of A & C.
Admittedly, an oversimplification but posting simply to remind newcomers, all CCRCs are NOT equivalents.
Thanks. The CCRC I moved into is a Type A Life Care. I paid a large entry fee and I pay monthly fees and if I have to move from independent living to a higher level of care (like skilled nursing) my monthly fee stays the same.
youbet, thanks for the explanation of how it works in Illinois. There could be some CCRCs in NC that work the way you describe but that is not how my CCRC works. If you move to skilled nursing or assisted living your monthly fee stays the same as what you paid for independent living. This is an advantage for folks with smaller less expensive units although the monthly fee difference for small versus large is not that much in my CCRC. The entrance fee for small vs large is much different however. The entrance fee for a large villa is up toward $1 million, I paid much less than that for a 2 bedroom apt. If one spouse stays in independent living and the other goes to skilled nursing the combined fees stay the same as they are paying in independent living.
In my CCRC there is flexibility regarding dining. You get a certain number of points included in your rent each month to use in the dining facilities which averages about 1 full dinner per day. You do have the option to buy less points or more points and this can be changed quarterly. If you move to assisted living or skilled nursing then you are required to buy 3 meals a day so your food charge will probably go up.
As an example of how the food charges work, I get 16 points per day. If I have a steak in the main dining room and a dessert this uses my full 16 points. However, we ate last night in the pub and I did not get a dessert so I only used 12 points. You cannot use points for alcohol. If you order alcohol you are charged dollars for that. You can also bring a guest a use your points , there is a guest fee of few dollars. You cannot carry over your points from one month to another so I have heard of people eating a lot of desserts (or taking them home) at the end of the month to use up all their remaining points.
youbet, thanks for the explanation of how it works in Illinois. There could be some CCRCs in NC that work the way you describe but that is not how my CCRC works. If you move to skilled nursing or assisted living your monthly fee stays the same as what you paid for independent living. This is an advantage for folks with smaller less expensive units although the monthly fee difference for small versus large is not that much in my CCRC. The entrance fee for small vs large is much different however. The entrance fee for a large villa is up toward $1 million, I paid much less than that for a 2 bedroom apt. If one spouse stays in independent living and the other goes to skilled nursing the combined fees stay the same as they are paying in independent living.
In my CCRC there is flexibility regarding dining. You get a certain number of points included in your rent each month to use in the dining facilities which averages about 1 full dinner per day. You do have the option to buy less points or more points and this can be changed quarterly. If you move to assisted living or skilled nursing then you are required to buy 3 meals a day so your food charge will probably go up.
As a volunteer tax preparer for AARP Foundation Tax Aide, and the son of someone in assisted living in a Type C CCRC, I just wanted to remind folks that you can generally deduct a certain percentage of the independent living cost as a Schedule A itemized deduction.
And if a primary reason for you living there is medical care - which I personally consider not to be true of independent living but to be true for assisted living, skilled nursing, and memory care - then you can deduct 100% of your food and lodging fees plus any medical care fees on Schedule A (after subtracting 7.5% of AGI, of course).
I am doing this for my Dad, and it looks like even though his rent went up moving from independent living to assisted living, his overall cost of living will actually drop measurably due to the tax effects.
IRS reference: https://www.irs.gov/publications/p502#en_US_2022_publink1000178988
As a volunteer tax preparer for AARP Foundation Tax Aide, and the son of someone in assisted living in a Type C CCRC, I just wanted to remind folks that you can generally deduct a certain percentage of the independent living cost as a Schedule A itemized deduction.
And if a primary reason for you living there is medical care - which I personally consider not to be true of independent living but to be true for assisted living, skilled nursing, and memory care - then you can deduct 100% of your food and lodging fees plus any medical care fees on Schedule A (after subtracting 7.5% of AGI, of course).
I am doing this for my Dad, and it looks like even though his rent went up moving from independent living to assisted living, his overall cost of living will actually drop measurably due to the tax effects.
IRS reference: https://www.irs.gov/publications/p502#en_US_2022_publink1000178988
The IRS reference you give addresses someone in a nursing home. Are you sure the deduction is the same for assisted living expenses?