Many people prefer to live at home as they age, for as long as they can. Aging in place is a term defined by the CDC as the ability for one to live in their own home safely and independently, regardless of age or income. Home is truly where the heart is, and for many, it brings a level of comfort that an assisted living community just can’t. However, aging often requires more attention and care when it comes to a person’s health. That’s where in-home care comes in.
In-home care is an option for seniors who require assistance in their homes as they age in place. This care is delivered by trained aides who help individuals with ADLs (activities of daily living), IADLS (instrumental activities of daily living), and more day-to-day management of their lives and well-being. As great as the idea sounds to have a home health aide, the costs can be incredibly high. Keep reading to discover the true cost of in-home care and how to determine what the out-of-pocket costs may be.
Types of services provided by home healthcare aides
There are several types of in-home care services. These services—or some of them, depending on your specific needs—will be provided if you decide this is the right choice for yourself or a loved one.
Examples include:
- Personal hygiene and care assistance for bathing, dressing, grooming, and brushing teeth
- Assistant with using the bathroom
- Meal prep and grocery shopping
- Light housekeeping, such as laundry, dishes, dusting, cleaning
- Running errands and helping with around-the-house tasks
- Meal preparation and serving/feeding
- Providing transportation
- Medication management and administration
- Home safety modifications and management
- Monitor vitals and record a client’s condition each day
- Offer companionship and socialization
There are other services that home health aides may provide as well. Oftentimes, familial caregivers can also manage many of these tasks. However, it can become quite a burden or inaccessible if they live in different areas. So hiring a home health assistant often becomes the best choice.
The cost of home care today
By 2030, the number of people aged 65 and older will reach 71 million. Many of these older adults will require personal care services, such as assisted living communities and skilled nursing care in the home. And this number won’t be slowing down anytime soon; the need for in-home care will only grow from here, both via demand and cost.
That leads us to our next point. Assisted living facilities and home health care services are both expensive, and deciding between in-home care vs. care in a facility can prove challenging. We hope that this cost breakdown will help you determine which is best for your needs.
A few fast facts about the cost of in-home care:
- The majority of home care agencies charge by the hour vs. monthly contracts.
- Location, level of care, and licensing requirements can all drastically affect the cost of in-home care.
- The demand for in-home care is surging, and the cost rose nearly 3.80% from 2004 to 2020.
- Currently, for full-time (40 hr/week) in-home care for seniors, the median monthly cost is almost $4,500.
According to the Genworth Cost of Care Survey 2004-2020, the current annual cost for a private room in a nursing home is $105,000+. Assisted living facilities, home health aides, and home care homemakers are nearly half the cost sitting around $50,000 to $55,000 annually. That’s a drastic jump, thus why in-home care becomes a very viable option for many who would choose to age in place over uprooting to a nursing home.
How much will in-home care cost in the future?
In-home healthcare costs can change drastically depending on several factors—location is one of the greatest. For example, Washington state is one of the most expensive states at $31.16/hr, but Louisiana is one of the lowest at $17/hr. The Cost of Care Survey takes a deeper dive into the hourly, monthly, weekly, and monthly rates of in-home care for the next 50 years.
The current median hourly rate for a Home Health Aide in the U.S. stands at around $24/hr. This number will grow dramatically over the next few decades (at 3% inflation) as such:
2030 — $32.25/hr
2040 — $43.35/hr
2050 — $58.25/hr
2060 — $78.29/hr
2070 — $105.21/hr
As you can see, in 50 years, when many young college grads will be reaching the age of needing long-term care, they can expect to pay nearly $100 an hour for an in-home care aide. However, we know advancements in technology and healthcare continue to make it easier and more realistic to live longer and healthier lives.
For continued support, while aging in place, reach out to Ōmcare. Our Home Health Hubs make it easier than ever to manage medications at home and prolong or replace the need for an in-home aide. Our easy-to-use system can make medication administration fast, easy, and safe while allowing for remote telehealth visits and connecting with loved ones. Reach out today for more information.