Study: Nursing Home Costs Up Twice Inflation Rate

Tri-State Residents Left Wondering How They Will Ever Afford It

FANWOOD, N.J. (CBS 2) — It’s cause for concern.

A new study by Met Life has found that the cost of nursing homes and assisted living nationwide went up more than twice the rate of inflation in the past year.

CBS 2’s Christine Sloan has the story from New Jersey, where many senior citizens worry their money may run out.

The Chelsea in Fanwood is an assisted living home many senior citizens who can’t live on their own hope to end up.

“I saved my money when I was working. I invested it,” 87-year-old Warren Jensen said.

Mindy Cere saved too, but said it wasn’t easy.

“The money that I accumulated and saved up purposely for something like this is slowly diminishing,” the 93-year-old told Sloan.

The new study finds the cost of assisted living nationwide went up by more than 5 percent in the past year. It’s the same for nursing homes. In New Jersey and Connecticut, it costs an average of $4,000 a month; in New York, more than $3,000.

Elaine Jeffers said she struggles to pay the bill for her mother-in-law.

“The costs are scary, very scary,” Jeffers said.

Sam Pessolano said he has managed but his son may not when he reaches his age.

“It’s alarming and it is a real concern of ours because who knows if we’ll ever be able to afford this,” Paul Pessolano said.

A place like The Chelsea can cost up to $5,000 a month. Residents use their pensions, Social Security, savings and even money from the sale of their home to be able to live in a place like this.

“It cost a lot,” one client.

The Chelsea’s director of community relations said salary increases and the cost of living are to blame. Planning in your 40s, she said, is key.

“For instance there’s veteran’s benefits, which they kind of tag as forgotten income for forgotten people. There’s also long term care insurance,” Linda Caminiti said.

She said knowing what’s out there can make your golden years more comfortable.

Many assisted living homes will also take Medicaid once you spend down.


One Comment

  1. joe says:

    There was no inflation , remember? Therefore no cost of living adjustments in s.s. benefits [cola]. Haven’t they been watching the news?

  2. Alan Cohn says:

    Nursing home industry is CROOKED.

  3. Leigh says:

    The richest country in the world can afford to bail the car industry out, support the health insurance company through “reforms”, and bail out Wall Street. Yet we insist that those who gave us our future will be stuck eating cat food and living in cardboard boxes.

    With the election of the “Teabagger” or what I like to call graduates of “I got my fine frack the rest of y’all Bigotry” University, otherwise known As Carravack the Arsshole, we can expect more of these stories.

    Well, repthuglicans, you do reap what you sow.

Comments are closed.

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