Memory care costs more than standard assisted living because it takes more staff time. Most families pay with a mix of sources, not one. Work through this list in order.
1. Monthly income
Social Security, pensions and annuity payments are the base. Add them up first, because the gap between income and the monthly rate is the real number you have to solve for.
2. Long-term care insurance
Check the file cabinet, then call former employers. Policies bought in the 1990s and 2000s are easy to forget. Dementia usually meets the “cognitive impairment” trigger, which means benefits can start without a physical limitation. See our guide to long-term care insurance and assisted living.
3. The house and other assets
Selling or renting a home funds many stays. Talk to a tax preparer before selling, and to an elder law attorney if a spouse still lives there.
4. VA Aid and Attendance
Wartime veterans and surviving spouses who need daily help may qualify for a monthly pension add-on. Your County Veterans Service Officer applies with you for free. Never pay a company to file a VA claim.
5. Elderly Waiver
For people 65 and older who qualify for Medical Assistance and need a nursing-home level of care, Elderly Waiver can pay for the care portion of memory care. It does not pay room and board. Ask every community whether they accept it, from which counties, and whether private pay is required first. Start with a MnCHOICES assessment through your county or senior health plan.
6. Life insurance and family
Some life insurance policies have a cash value or can be converted to pay for care. And many families simply share the gap among siblings for a period. If you do, put it in writing.
What does not pay
Medicare and Medicare supplement plans do not pay for memory care. They continue to cover doctors, hospitals, therapy and hospice.
Work out the runway
Divide available savings by the monthly gap. That is how many months private pay lasts. If the answer is under three years, ask about Elderly Waiver before choosing a community, not after.
Oakwood’s rates are published on our pricing page so you can run this math tonight.
General information only. It is not legal, financial or medical advice, and program rules change. Check details with the Senior LinkAge Line (800-333-2433), your county, your insurer or a qualified advisor.