Regardless of your circumstances, your personal finances likely have a significant impact on where and how you retire. However, taking time to fully compare and contrast the costs associated with homeownership with various retirement options may reveal that your retirement dreams are in closer financial reach than you imagine.
For example, some seniors see the wide range of amenities and well-appointed living spaces at a senior living community and assume that lifestyle is beyond their budget. The reality is that independent living costs can be quite comparable to other options.
What’s more, numerous factors affect your overall investment, and some of the lifestyle benefits are difficult to define in monetary terms. That’s why it’s important to look beyond the monthly fee to get a complete picture of the cost of independent living.
Make a Complete Comparison of Living Costs
A good starting point — ideally even before you begin touring communities that pique your interest — is sitting down and making a detailed list of all of your current expenses.
- Rent or mortgage payment
- Tax and insurance
- Utilities (gas, electricity, water, etc.)
- Trash/sewer service
- Cable
- Internet
- Cell phone service
- Groceries
- Transportation (monthly payment plus gas, insurance, upkeep)
- Home maintenance/repairs
- Monthly subscriptions
- Gym memberships
Once you have a strong handle on your existing expenses, it’s smart to also consider financial implications for the future. Think about what kind of investment you may need to make in your current home to accommodate you as you age.
What will it take to make modifications such as adding ramps in place of stairs, grab bars, stair lifts and other assistive devices? If you need extra help around the house, or an aide to help with your medications, personal care or more specialized support, what is the going rate in your area?
Consider What Affects Your Final Cost
Just like any other home, numerous different variables impact senior living pricing, from your agreement structure to details like location and amenities. Of course, fees are just part of the overall value, so knowing exactly what is included makes it easier to make true comparisons.
Contractual Agreements
Before you can fully evaluate your potential senior living costs, it’s important to have a basic understanding of a community’s fee structure. You should know that the details can vary from one community to another, so you’ll want to gather complete information to make the most accurate comparisons.
Generally, you can expect to pay an upfront deposit or entrance fee, and in some cases your monthly fees may change based on your entrance fee (in other words, a larger entrance fee could result in lower monthly fees).
Many communities offer a variety of contract options, so you can select the option that matches your financial situation best. For example, Presbyterian Village North offers five different contracts to choose from, with varying entrance fees, monthly service fees and entrance fee refundability.
Monthly Service Fees
What is included in independent living fees can vary slightly from one community to the next as well, but generally monthly fees include most — if not all — of your daily living expenses, along with unlimited access to the community’s amenities and services.
At Presbyterian Village North, the all-inclusive monthly service fee covers your private residence, parking, scheduled transportation, weekly housekeeping, a culinary plan, activities, an emergency response system and major utilities such as electric, water, sewer and trash.
In addition to your contract structure, several other factors can influence your monthly fee, especially if the community offers multiple neighborhoods and living options. As you might expect, the size and location of your residence can affect your rate. A freestanding home will require a bigger commitment than a studio apartment, and — just like anywhere else — prices vary from one neighborhood to the next.
Other Considerations
Another factor to consider is how your everyday spending may change after you move.
When so much of what you need is available within the community, you may not find yourself driving as much, which means less gas and wear on your vehicle. In fact, with scheduled transportation included in your monthly fee, you may find you don’t need a car at all.
Likewise, delicious on-campus dining and entertainment options may mean you’re able to curb those current expenses, and senior-friendly fitness and wellness programming gives you the option to eliminate costly gym memberships.
Not All Expenses Fit on a Budget Sheet
It’s worth noting that some of the most valuable aspects of senior living don’t have a specific price tag. There’s value in living among your peers in a community designed specifically for your needs and interests as a senior. In fact, the overall lifestyle and convenient access to wellness and other amenities are some of the most compelling reasons for choosing an independent living community.
The setting also allows you to take advantage of services that you might not otherwise bother securing — but they sure come in handy and free up your time! Help with chores like housekeeping, maintenance and landscaping may not be part of your current budget, but most residents agree that they’re valuable perks of community living.
Similarly, while alarm systems are fairly common, most people don’t have professional security staff or 24-hour emergency care minutes away. Those features can play a big role in your sense of safety, which tends to become more precious as the years go by.
Among the other intangibles is the long-term peace of mind that comes with having a place where you can comfortably retire, confident in knowing that your needs will be met if your health changes over time.
Make a Decision that Makes “Cents” for You
As you may be realizing, breaking down the actual costs associated with independent living can put this retirement lifestyle in a whole new light. In fact, in a side-by-side comparison with current expenses, many independent living residents find the monthly fees comparable to — or even less than — what they pay now.
Add the long-term peace of mind, along with the investment in lifestyle, convenience and security, and now what you’re comparing is overall value, not just a line item on a balance sheet.
Independent Living at Presbyterian Village North
We offer a unique blend of comfort, convenience and peace of mind with our non-profit senior living community set on 66 acres of beautifully landscaped grounds. Whether you prefer a spacious apartment or a freestanding home, the variety of beautiful residences ensures you’ll find the perfect space to call your own.
With chef-prepared dining and a wide range of amenities, including a fitness center, therapeutic aquatic center and walking paths, every day offers opportunities to stay active and engaged. Residents enjoy a vibrant, welcoming community, open to all faiths, with endless opportunities for connection and personal growth.
From our on-campus pharmacy services to a resident clinic, professional security 24/7and a wireless emergency call system in every residence, your well-being is always a top priority. With exceptional amenities like a performing arts theater, woodworking shop, dog park, putting green and salon services, every detail is designed to enrich your life.
For more information about how Presbyterian Village North can help you or your loved one thrive in retirement, please reach out by calling (214) 355-9000 to request a personal tour or more details today.