Paying for In-Home Care

Paying For In-Home Care For Aging Adults

As our loved ones age, it’s natural for us to want to ensure they receive the best possible care. In-home care is often a preferred option, as it allows seniors to remain in the comfort of their own homes while receiving the support they need. Based on this, paying for in-home care can be a significant financial burden for many families.

In this post, we’ll explore the various options available for paying for care services for aging adults, and how choosing a home care agency can make all the difference.

How Much Does In-Home Care Cost?

According to the Genworth Cost of Care study for 2021, the national median private-pay hourly rates for senior home care for home health aides and homemaker/ companion services are $27 and $26, respectively. This cost of care is projected to continue to rise in coming years, with estimates in 2026 being $31.30 and $30.14, respectively. The lowest median hourly rates for home care came from West Virginia, at $18.75 for a home health aide and $18.50 for a homemaker/companion. The highest median hourly rates for home care came from Minnesota at $36.25 for a home health aide and $35 for a homemaker/companion.

New Jersey has a median hourly rate for home care at $29.95 for a home health aide and $29.00 for a homemaker/companion. For quality care, we have found that one could expect to pay anywhere from $28/hr – $40/hr for a home health aide.

Insurance Options and Financial Assistance for In-Home Care in New Jersey

There are several options available for paying for care for aging adults, including Medicare, traditional health insurance, and long-term care insurance.

Medicare

Medicare is a federal health insurance program primarily designed for people aged 65 and over, and those with certain disabilities. While it doesn’t specifically cover in-home care, it does cover certain types of medically necessary services on a limited basis, such as skilled nursing care, physical therapy, occupational therapy, speech-language pathology services, and medical social services.

To be eligible, you must meet certain criteria, such as:

Being homebound
Having a demonstrated medical need for skilled nursing care, and
Having a physician’s order for the services

Plus, the services must be provided by a Medicare-certified home health agency. Medicare will cover 100% of the cost of medically necessary in-home care services for up to 60 days. After that, a co-payment may be required. It doesn’t cover personal care services, such as help with bathing, dressing, and grooming. Since the coverage is so limited, you may need to explore other options as well, like long-term care insurance or Medicaid.

Medicaid

Medicaid is a joint federal and state program that provides health coverage for people with limited income and resources. In New Jersey, it covers a range of in-home care services for seniors who meet certain eligibility criteria, like:

They must be at least 65 years old or have a qualifying disability
They must have a demonstrated difficulty with two or more activities of daily living (ADLs) such as bathing, dressing, grooming, eating, going to the toilet, and so on.

There’s an income criteria as well: as of 2022, the monthly income limit for seniors in New Jersey who wish to qualify for Medicaid-funded in-home care services is $2,436 for an individual and $4,872 for a married couple. In relation to this, these income limits may be higher for certain Medicaid programs, such as the Medicaid Managed Long-Term Services and Supports (MLTSS) program.

If you do qualify for Medicaid, you can get coverage for skilled nursing care, physical therapy, speech therapy, and home health aides who provide assistance with personal care, medication management, and other daily living activities.

To learn more about Medicaid coverage for long-term care services in New Jersey, you can visit the New Jersey Department of Human Services website or contact a Medicaid representative for more information.

Health Insurance Policies

Most traditional health insurance plans in New Jersey don’t cover in-home care services. These are instead covered under long-term care (LTC) insurance policies or Medicaid.

With that said, some health insurance plans may offer limited coverage for a limited time and under certain conditions. It’s vital to review the specific terms and conditions of your health insurance policy to determine what types of services are covered.

If you require long-term in-home care services, you may want to consider buying a LTC policy or exploring Medicaid eligibility. In relation to this, some employers offer LTC insurance as an employee benefit, so you may want to check with your employer to see if this coverage is available.

Long-Term Care (LTC) Insurance

Long-Term Care Insurance is designed to help cover the cost of care for aging adults who need assistance with activities of daily living, such as bathing, dressing, and eating. In-home care services in New Jersey covered by LTC insurance may include home health aides, skilled nursing care, physical therapy, occupational therapy, and other services that help individuals with chronic illnesses or disabilities to remain living independently in their homes.

LTC insurance policies usually require that the insured individual has a demonstrated need for long-term care services, such as being unable to perform two or more activities of daily living (ADLs) independently, before benefits will be paid.

To use your LTC policy to pay for in-home care services, you will typically need to submit a claim to the insurance company. They will then review the claim to determine if the services are covered under the policy and whether you (or your elderly loved one) meet the policy’s eligibility requirements.

Veterans’ Benefits

There are several Veterans Programs that can cover in-home long-term care services for eligible veterans in New Jersey. These programs include:

Veterans Directed Home and Community Based Services (VD-HCBS): This program allows eligible veterans to direct their own long-term care services, including in-home care services, through a self-directed care model. The program provides a flexible budget that veterans can use to hire their own caregivers or purchase other services that meet their unique needs.

Aid and Attendance (A&A) Pension: This program provides additional financial assistance to eligible veterans and their surviving spouses who require the aid and attendance of another person to perform daily activities or are housebound. The A&A pension can help cover the cost of in-home care services.

Veterans Affairs (VA) Home-Based Primary Care (HBPC): This program provides comprehensive medical care and in-home support services to eligible veterans who have complex medical needs and are unable to travel to VA medical facilities for care.

To be eligible for these programs, veterans must meet certain criteria, such as having a service-connected disability, meeting income and asset requirements, and having a demonstrated need for long-term care services. The specific eligibility requirements and benefits of each program can vary, so please contact your local VA office or a Veterans Service Officer in New Jersey for more information.

Benefits of Home to Stay Services

As your elderly loved ones age, it’s natural to want to provide them with the right care to ensure their health, happiness, and overall well-being. Stemming from this, juggling work, family, and other responsibilities can make it challenging to provide that level of care on your own. That’s where we come in!

Our dedicated team of caregivers is committed to providing compassionate and personalized care that allows your loved one to age comfortably and safely in their own home. Here are some of the benefits of working with us:

Quality of Care: We hire trained and qualified caregivers who have experience in providing care for seniors. They undergo background checks, are bonded and insured, and receive ongoing training to ensure they meet our strict standards of care.
Flexibility: We offer a range of services which can be tailored to meet your unique needs. Our caregivers can provide care for a few hours a day, several days a week, or around the clock, depending on what you need.
Convenience: We take care of all the administrative tasks related to hiring and managing caregivers, such as conducting background checks, scheduling, and payroll. This makes it easier for your family to access quality care without having to worry about the logistics of managing a caregiver.
Tax and Insurance: We also handle all the tax and insurance obligations related to hiring a caregiver. This includes paying payroll taxes, workers’ compensation insurance, and liability insurance. This can help protect your family from potential legal and financial issues that may arise if the caregiver is injured while providing care.

We Provide Compassionate and Reliable Care for Your Aging Loved Ones

Home to Stay is the premier in-home care agency for seniors in New Jersey. Our dedicated and qualified caregivers provide personalized care tailored to meet the unique needs of your aging or disabled loved ones. From helping with activities of daily living to companionship and emotional support, we are dedicated to helping seniors live with dignity and independence in the comfort of their own homes.

Don’t let the challenges of caregiving for elderly loved ones weigh you down. Contact Home to Stay today to learn more about our services and how we can help you and your loved one live life to the fullest.