What Is the Average Monthly Cost for Memory Care?

Nearly seven million Americans are living with Alzheimer's. By 2050, it’s projected to rise to nearly 13 million.

As a loved one’s cognitive abilities decline, it can be challenging to know how to provide appropriate care. While some family members choose to provide unpaid care at home, this often demands the caregiver's full attention and can be overwhelming.

Memory care services are an alternative option, providing specialized care from trained professionals to adults with memory impairment. 

But these care services tend to come with high monthly fees. In fact, the median cost for memory care in the US is $6,200 per month, according to a recent long-term care report.

In this article, we’ll explore what memory care involves, its benefits, the average cost, and potential ways to pay for it.

What is memory care?

Memory care is a specialized type of care that caters to adults experiencing significant memory loss, typically caused by Alzheimer’s disease or another form of dementia. Memory care can be provided in-home, but is often provided in a specific unit of a facility, like an assisted living community or nursing home.

The demand for memory care is growing steadily and is expected to continue increasing at a rate of 5.1% annually until 2030. 

Staff members in memory care facilities are specially trained to work with individuals experiencing dementia-related conditions. These facilities are thoughtfully designed with features to ensure the safety and comfort of residents, including secure exits, clear signage, and simple daily routines that help residents navigate their day with ease.

Memory care services often include:

• Personal care assistance: Help with activities of daily living, such as bathing, dressing, and eating.

• Health monitoring: Regular check-ups and daily medication management.

• Cognitive stimulation: Engaging activities to maintain cognitive functions.

• Specialized therapies: Individualized support, including speech, occupational, and physical therapy.

What is the average monthly cost of memory care?

Since memory care facilities offer a higher level of care and supervision, the cost of memory care is often higher than senior living communities, but usually less expensive than full-time care in a nursing home.

According to recent data from A Place for Mom, the national average monthly cost of memory care is $6,200 per month. Here’s a state-by-state breakdown:

A few factors that influence the overall cost include:

• Location: Memory care is often more expensive in urban areas or states with higher living costs, like California or New York. Smaller towns, states with a lower cost of living, and more rural areas often have lower priced care options.

• Level of care: More intensive care comes at a higher monthly cost. Residents who require 24/7 assistance or those with advanced dementia may need more personalized services.

• Facility type: Standalone memory care communities may have different pricing structures than those located within larger assisted living facilities or nursing homes. Additionally, some offer luxury amenities which can raise the price further.

Plus, Genworth’s Cost of Care Survey found that rising inflation and a shortage of skilled workers have led to price increases across all types of assisted living facilities in recent years.

What are the benefits of memory care

For adults suffering from memory loss and impairment, memory care facilities offer many benefits, including:

• A secure environment 

• Specialized attention and care plans tailored to unique needs

• Cognitive stimulation

• Increased socialization

• Around-the-clock supervision

• Medication management

• Easy access to health care services

• Personalized meal plans

• Housekeeping

• A sense of independent living

• Enhanced quality of life

Does Medicare cover memory care costs?

Medicare generally does not cover memory care costs when care is provided at a nursing home, assisted living facility, or a specialist memory care community.

However, there are some exceptions. Under certain conditions Medicare may cover short-term skilled nursing care (usually limited to 100 days). Get all of the details in Chapter’s guide to Medicare and memory care.

Medicaid may cover some or all of the memory care service costs for qualifying patients. The coverage varies by state since Medicaid funding comes from the federal government and the individual state. 

Is memory care worth the cost?

For many families, the value of memory care far outweighs the cost. The peace of mind it provides, knowing that your loved one is in a safe, supportive environment with specialized care, makes it a worthwhile investment.

While memory care can be more expensive than traditional assisted living communities, the level of personalized care and security makes it a suitable option for older adults with Alzheimer’s disease or another form of dementia.

Ways to pay for memory care costs

The cost of memory care can add up quickly, but there are several options to help finance it:

• Privately: Many families use their personal savings, investments, or retirement funds to pay for memory care services out of pocket.

• Long-term care insurance: If the individual is enrolled in long-term care insurance before they receive a dementia diagnosis, this insurance policy may cover part or all of the memory care expenses, depending on the policy. 

• Veterans benefits: Veterans or their surviving spouses may qualify for benefits through the Department of Veterans Affairs, which can help cover the cost of memory care at home or in a facility.

• Liquidating property: Some families cover memory care costs by selling or renting out the senior’s property. Others may use a reverse mortgage to access the home’s equity without selling it, though this isn’t the right solution for everyone.

• Asset liquidation: Often a last resort, some families may consider selling a senior’s valuable assets, like jewelry, art, or antiques for financial assistance related to memory care costs.

While navigating these options can be overwhelming, taking the time to explore them thoroughly is important to ensure your loved one gets the necessary care without compromising your family’s financial security.