Why You Should Pay a Retirement Community Buy-in Payment
Retirement communities often require a buy-in payment (sometimes called an entrance payment) or provide a buy-in payment option. The buy-in payment model can be of great value to a senior wanting to manage their financial future. It can assist with financial protection of your estate by ultimately making the cost of senior living more affordable over the long-term. Here are some answers to frequently asked questions about buy-in payments.
What is a Buy-in Payment?
A senior living buy-in payment is an upfront payment required by communities known as Life Plan Communities, aka CCRCs (continuing care retirement communities). This is a one-time payment based on the floor plan of a residence and its location, as well as the number of occupants who will be living in it. Payment of this payment provides a residence and priority access to a high-quality continuum of care which may include assisted living, memory care, skilled nursing and rehabilitation care. Thereafter, residents pay an all-inclusive monthly fee that covers utilities, maintenance, transportation and other daily costs.
What Does a Buy-in Payment Pay for?
The buy-in payment at a Life Plan Community allows residents to enjoy independent living with priority access to a continuum of care when they need it. The maintenance-free lifestyle gives residents more time to enjoy their favorite pursuits or try something new. It includes a wealth of social and recreational opportunities, and typically a meal plan, social and recreational activities, and varying amenities such as a pool, craft room, beauty salon/barbershop, fitness center, etc. Many residents who calculate the cost of senior living in a buy-in payment community find it compares very favorably to the costs of homeownership.
Buy-in payments are also how communities keep senior living costs affordable for all residents. They enable the community to maintain a high quality of services and amenities. In a Life Plan Community such as The Heritage at Brentwood®, the levels of living and continuum of on-campus continuum of care include independent living, assisted living, memory care, skilled nursing and rehabilitation.
What are the Benefits of a Buy-in Payment Contract?
A buy-in payment contract can be an attractive option for seniors who are planners, looking for security and peace of mind. Because buy-in payments at a Life Plan Community cover the entire continuum of care, seniors can enter the community when they’re active and healthy, knowing that they have a plan in place if their health ever changes.
While everyone hopes they’ll remain hale and hearty well into their later years, it’s a fact that 7 in 10 seniors age 65+ will need long-term care at some point in their lives. If a person’s health does undergo a change, priority access to care is available on-site. At The Heritage at Brentwood, residents stay in control of their plan for care, choosing what makes sense for them, and having their needs and preferences honored at all times. Care is delivered in a familiar and comfortable setting, by caregivers a resident already knows and trusts. Having a continuum of care on-site is especially beneficial for couples. Even at different stages of health, they won’t need to move outside the community for higher levels of care. They’ll remain close to each other on the same campus.
Additionally, a buy-in payment contract in a Life Plan Community offers priceless peace of mind. It guarantees that if a resident runs out of finances through no fault of their own, they’ll always have a place to live.
What is the Value of a Buy-in Payment Contract?
In some senior living communities, when higher levels of care are needed, health service payments are added to the monthly fee. These services are charged at the market rate. In a Life Plan Community, residents are protected from the constantly rising costs of health care. Here, the payments for health services are predetermined and highly reduced, typically priced much lower than market rate. There’s little to no increase in monthly fees over what was paid in independent living.
The Heritage at Brentwood is the only Life Plan Community in Williamson County that offers a Type A LifeCare® contract. This type of buy-in payment contract is widely regarded as the gold standard for quality health care at reasonable rates, estate protection and a lifetime of peace of mind. You’re invited to check out these free online tools and resources to learn more about the value The Heritage provides.