Understanding the Costs of Aging in Place: Tips to Save Money

Helping you navigate the financial realities of caregiving with confidence.
Caring for a loved one who wishes to age in place is a beautiful gift, but it often comes with financial challenges. From home modifications to medical supplies, the costs can quickly add up, leaving caregivers feeling overwhelmed. The good news? With careful planning and the right resources, you can manage these expenses and even find ways to save.

Breaking Down the Costs of Aging in Place
Understanding the key areas of expense is the first step in creating a manageable financial plan.
Home Modifications:
Installing grab bars, ramps, stairlifts, and other safety equipment to ensure accessibility and safety.
Average Costs: Grab bars ($80–$200), ramps ($1,000–$3,000), stairlifts ($2,500–$5,000).
Medical Supplies and Equipment:
Recurring expenses for items like mobility aids, incontinence products, and wound care supplies.
Larger investments include hospital beds, wheelchairs, or oxygen equipment.
Caregiver Services:
Respite Care: Temporary care to give you a break, typically costing $25–$50 per hour.
Home Health Aides: Assistance with daily tasks, averaging $20–$25 per hour.
Adult Daycare Services: Provide activities and supervision, costing $75 per day on average.
Transportation:
Costs for driving to doctor’s appointments, grocery shopping, or running errands. Specialized transportation services may charge $40–$60 per trip.
Utilities and Household Costs:
With someone home full-time, expect higher utility bills (electricity, heating, and water).

5 Practical Ways to Save Money
1. Take Advantage of Financial Assistance Programs
Several government programs and nonprofits offer support for aging-in-place expenses.
Medicaid Waivers: In some states, Medicaid offers waivers to cover home care costs.
Veterans Benefits: Veterans and their spouses may qualify for the VA Aid and Attendance Pension, which helps pay for in-home care.
Nonprofits: Organizations like Rebuilding Together provide free or low-cost home modifications for seniors.
Pro Tip: Contact your local Area Agency on Aging (AAA) to learn about assistance programs in your area.

2. Shop Smarter for Medical Supplies
Recurring costs for medical supplies can strain your budget, but there are ways to reduce these expenses:
Buy in Bulk: Purchase incontinence products, gloves, or wound care supplies in bulk for discounts.
Look for Deals Online: Websites like Carewell or Amazon often have lower prices than local pharmacies.
Recommended Product: Vive Alternating Pressure Mattress for pressure sore prevention.

3. Reduce Utility Costs
If your loved one spends most of their time at home, energy costs can climb.
Energy-Saving Tips:
Use LED bulbs to reduce electricity bills.
Install a programmable thermostat to manage heating and cooling efficiently.
Apply for energy assistance programs like LIHEAP for low-income households.

4. Explore Tax Deductions and Credits
Caregiving may qualify you for significant tax savings.
Medical Expense Deductions: You can deduct qualifying medical expenses exceeding 7.5% of your adjusted gross income (AGI).
Dependent Care Credit: If you’re paying for care services, you might qualify for a tax credit.
IRS Publication 502: Offers a detailed breakdown of deductible caregiving-related expenses.
Pro Tip: Consult with a tax professional to ensure you’re maximizing all eligible deductions.

5. Use Technology to Cut Costs
Technology can save you both time and money.
Medication Management Apps: Reduce costly medication errors with apps like MediSafe.
Telehealth Services: Many insurers now cover telehealth visits, which can be more affordable than in-person appointments.
Remote Monitoring Devices: Tools like wearable health trackers or smart home systems can reduce the need for costly in-person supervision.

Budgeting for the Future
Creating a budget helps you plan for both immediate and long-term expenses.
Step 1: List all current caregiving expenses, including recurring costs (e.g., supplies) and one-time upgrades (e.g., home modifications).
Step 2: Identify areas where you can cut costs or seek assistance.
Step 3: Set up an emergency fund to handle unexpected caregiving expenses.

Empower Your Loved One to Be Involved
Seniors often feel guilty about the financial burden their care may impose. Including them in the budgeting process can ease these feelings and ensure their preferences are considered.
Actionable Tip: Discuss which upgrades or services they value most and prioritize those first.

Final Thoughts
Caregiving doesn’t have to break the bank. By understanding the costs of aging in place and exploring the many resources available, you can make informed decisions that benefit both your loved one and your budget. Remember, every dollar saved is a step toward making caregiving more sustainable.
For more tips and products to support caregiving, visit our Caregiver Resources section or explore our curated home safety solutions to find what fits your family’s needs.