Sara had always been an active person. In her youth, she was a competitive swimmer and stayed in shape throughout her life. Even now, in her early-60s, Sara walks around her neighborhood daily. But lately, Sara had been feeling more tired and finding it harder to get around like she used to. Her doctor told her that it was only natural for someone her age to start slowing down, but Sara didn’t like the idea of becoming less active. She wanted to stay independent and keep doing the things she loved. A friend suggested Sara look into a Continuing Care Retirement Community (CCRC). CCRCs provide different levels of care, from independent living to assisted living to skilled nursing, all in one place. Sara liked the idea of staying in one community as she got older and getting the care she needed if her health changed. This way, residents can age in place without having to move if their needs change.
CCRCs Offer a Continuum of Care
A CCRC, or Continuing Care Retirement Community, is a type of senior living facility that offers a wide range of living options and services, all in one location. CCRCs are also called Life Plan Communities. A CCRC can be helpful for those who want to age in place, as it means they won’t have to move if their needs change over time. A CCRC typically includes independent living, assisted living, skilled nursing care, memory care, and other specialized services. CCRCs allow residents to live in one community and receive the care they need without relocating. In addition, many CCRCs offer a wide range of amenities and social activities, which can help to promote a sense of community and provide a stimulating environment. A CCRC can be a good option for those looking for a comprehensive and flexible solution for their long-term care needs.
CCRCs Offer Social Activities and Community Opportunities
CCRCs, or Continuing Care Retirement Communities, are a type of retirement community that offers a variety of housing options and social and recreational activities to residents. CCRCs usually have a main clubhouse or center that hosts regular social events, such as card games, dance classes, and outings to local attractions. In addition, CCRCs often have a variety of clubs and interest groups that residents can join, such as book clubs, gardening clubs, and walking groups. These activities not only provide residents with an opportunity to socialize and make new friends, but they also give residents a chance to get involved in the community. As a result, CCRCs offer an attractive option for retirees looking for an active and engaged lifestyle.
CCRCs Can be Expensive, Do Your Research
A Continuing Care Retirement Community (CCRC) is a type of senior living facility that offers a wide range of services, from independent living to skilled nursing care. Because of the comprehensive nature of these communities, they can be expensive to join. In addition, many CCRCs require residents to pay an upfront entrance fee and monthly fees for services. As a result, it’s important to do your research before signing up for a CCRC. Make sure you understand the fees associated with membership and the level of care that will be available to you as your needs change. Additionally, it’s a good idea to tour several different CCRCs to get a sense of the community and staff before making a decision. By doing your research, you can choose the CCRC that’s right for you and your budget.
CCRCs Financials and Regulations.
Currently, 38 states regulate CCRCs through various organizations such as insurance, financial services, social services, etc. (Retirement Communities in North Carolina, 2022). State regulations vary drastically from state to state. Some states, like Florida, have very little regulation, while others, like New York, have extensive regulation. The primary federal organization that regulates CCRCs is the Centers for Medicare and Medicaid Services (CMS). CMS establishes national standards for nursing homes and home health agencies participating in Medicare and Medicaid programs. In North Carolina, the NC Department of Insurance regulates retirement communities.
It is also essential to review the financial viability of the CCRC you are reviewing. It is a good idea to evaluate the CCRCs’ audited financial statements. By maintaining a strong Balance Sheet, the CCRC demonstrates its ability to pay its debts as they come due. Furthermore, the Income Statement will give you an idea of whether the CCRC is generating enough operating cash flow to cover its expenses. Lastly, the Statement of Cash Flows will show how well the CCRC manages its cash and whether it generates enough cash to fund its operations. You should be able to get the financial statements directly from the CCRC.
It’s Important to Read the Contract Carefully
By doing your research upfront, you can choose the CCRC that best meets your needs and avoid any unexpected surprises down the road. When considering a CCRC, it’s important to carefully read and understand the contract before signing up. Otherwise, you may be inadvertently responsible for hidden fees or penalties. For example, some CCRCs require a minimum number of years of commitment, while others have entrance fees that must be paid even if you decide to move out early. Additionally, be sure to ask about the community’s refund policy in the event that you need to cancel your contract for any reason.
CCRC Can Provide a Sense of Community and Support
Residents of CCRCs typically move in when they are healthy and active and then have the peace of mind of knowing they will have access to the care they need as they age. One of the main benefits of living in a CCRC is the sense of community and support that it can provide. Residents can socialize and interact with their neighbors, and staff members are always available to assist. In addition, many CCRCs offer a variety of amenities, such as swimming pools, fitness centers, and game rooms. As a result, CCRCs can be an ideal option for those looking for an active and engaged lifestyle in their retirement years.
Summary
If you or your loved one is interested in moving into a CCRC, it’s important to do your research. There are many benefits to these communities, but they can also be expensive. Read the contract carefully before signing up for a CCRC, as there may be hidden fees or penalties. Ultimately, CCRCs provide residents with a sense of community and support, which can be extremely helpful as we age.
References
Retirement Communities in North Carolina. (2022, 11 15). Retrieved from My LifeSite: https://mylifesite.net/states/retirement-communities-in-north-carolina.php
Author
Isaac is a Fee-Only (no products sold) Certified Financial Planner® Practitioner. Isaac founded Stalwart Financial Planning with offices in Fayetteville NC and Durham NC. Isaac provides comprehensive planning and investment management services to individuals from all walks of life. Isaac can be reached by phone at 910-867-8464, or by email (iallen@StalwartPlanning.com). Visit him at Stawart Financial Planning www.StalwartPlanning.com.