If you’ve started to do any research into Life Plan communities, you’ve probably come across many terms: Life Care. Continuum of care. Levels of care. Benefits of Life Care.
That’s a lot of care. Is “care” what this is all about?
Well, not exactly, but you’d be forgiven if you think that. After all, one big benefit of choosing a Life Plan Community with Life Care is the guaranteed care.
But let’s back up for a minute and take a look at the bigger picture. Because care isn’t the sole benefit you should know about.
It’s important to learn what a Life Plan Community is, what Life Care offers you, and why a senior living community is a great financial and lifestyle choice for active older adults like you. Once you understand the benefits, your next move might be to learn more about how to become a resident.
What a Life Plan Community is
A Life Plan Community literally describes what these types of communities offer: A community that provides older adults with a smart plan, for the rest of their lives. Here’s how it works:
- Typically, you move into a Life Plan Community as an independent living resident.
- You pay an up-front one-time entrance fee, as well as a monthly service fee that covers things like your residence, your meals, housekeeping, maintenance, and other community services and amenities.
- The amounts you pay will vary depending on the size of your independent living residence (smaller residences are less expensive, while larger residences are more expensive).
- Should you ever need it, you have access to the community’s on-site continuum of care, which are their levels of care — which are commonly assisted living, skilled nursing, rehabilitation and memory care. This continuum of care gives you a plan for dealing with possible health care issues and prevents additional moves off-campus to other care facilities if you need higher levels of care.
- If you have a spouse, he or she can continue to live in your independent living residence on campus. If they ever need it, they can receive different levels of care as well.
The advantage of choosing a Life Plan Community is that both you and your spouse are able to live the rest of your lives at the same community without an additional move away from the community. And you’re in control: No one has to make decisions for you during a health crisis.
However, there are some disadvantages to choosing a Life Plan Community that doesn’t also offer Life Care — and to be clear, Friendship Village does offer a Life Care contract. One disadvantage is that while you will have access to higher levels of care, you may not have guaranteed priority access. That means if a nonresident (someone from outside the community) needs a particular level of care, they may get the last assisted living or skilled nursing room or bed available, not you.
Another disadvantage is you may pay much more per month for each level of care than you pay in independent living. Sometimes there may be discounts for residents or a set number of days that are covered per year, but typically you’ll pay for all additional care out of your own pocket.
What Life Care is
Many people think Life Care is a type of community, but it’s actually a type of financial contract a Life Plan Community offers. This is how a Life Care contract works.
- When you choose a Life Care contract at a Life Plan Community, you pay an up-front entrance fee and a monthly service fee — again, both vary depending on the size of your independent living residence.
- Your up-front entrance fee pays for many benefits: lifetime residency and use of all community services and amenities. The entrance fee is typically much higher than other types of contracts, but that’s because you’re essentially pre-paying for the future care you think you may need.
- You and your spouse may be perfectly healthy and independent today. But if you or your spouse does need care, you both have guaranteed access. You’ll also pay little to no increase in your monthly fees, no matter how your health needs may change in the future.
Life Care offers several advantages, primarily that you know you have care for life, with little to no increases in your monthly service fee. You receive the care you need when you need it, in the community you call home, from trusted professionals who treat you like family.
Another advantage is that you may also qualify for a tax deduction on monthly fees, because they’re recognized as a charge or prepayment for future health care services. Consult with your trusted tax advisor on any possible deductions you may be able to receive.
One perceived disadvantage is that with a Life Care contract, you pay up front for care you may not need. However, One government study showed 70% of people over 65 will need long-term care sometime in their lives.
The benefits of Life Care
There are two very big benefits behind choosing a Life Care contract at a Life Plan Community:
- Life Care can preserve your nest egg. Many communities offer partially refundable entrance fee options that can help preserve your estate. And as we mentioned, some portion of your entrance fee and monthly fees may be tax-deductible, because you’re essentially prepaying for future health care.
- Life Care provides peace of mind. You and your spouse are guaranteed care for life. So from the very first day you move in, you know you won’t have to leave the community as your health care needs change.
These reasons help explain why Life Care is considered the gold standard of contracts. And in St. Louis, the only senior living communities offering Life Care are Friendship Village in Chesterfield and Sunset Hills.
We invite you to learn more about Life Care at Friendship Village. Contact us at 314-730-3902 for Friendship Village Sunset Hills or 636-255-8281 for Friendship Village Chesterfield. Or complete this short form, and we’ll be in touch!