Retirement Community

Prospective residents are required to submit an application for the CCRCs that they are interested in. You may also be asked to submit a health evaluation to help the community determine if you meet the age and health requirements to reside in the CCRC.

The reasons for this is that healthy, new residents help offset the healthcare costs for residents who’ve lived at the CCRC longer and have experienced progressive changes to their health over the years. Once you have been accepted, you will be asked to review and sign your CCRC contract and pay the entry fee.

As far as retirement options go, CCRCs are the most expensive residential options for seniors. Most CCRCs require an entry fee, which ranges depending on the community and the location.
The latest numbers reveal that the average entry fee is approximately $500,000. Once residents have moved in, they pay monthly service and maintenance fees, which also varies depending on the services that seniors wish to pay for.

Monthly rent and service charges average about $3,500 and are known to fluctuate with the housing market over time. Although the downside is that CCRCs are overwhelmingly expensive, seniors are basically investing in their personal and medical care for years to come as well as luxurious amenities and shared social opportunities with peers.

As mentioned previously, CCRCs are expensive. One of the biggest hurdles to master is the entry fee. Some seniors spend years saving up for retirement and can afford the entry fee by utilizing those funds. For others, they may choose to liquidate personal assets. Medicare, Medicaid, and other medical insurance policies only cover (fully or partially) certain medical services provided during your stay in the community.

So, if your goal for retirement is to reside in a CCRC, save early and save a ton of money on a regular basis. Consult with a financial specialist if you wish to transfer funds, convert funds, or liquidate assets such as your current home before committing to a CCRC contract.

The beauty of a retirement community is that it provides numerous services for everyone’s unique personal and medical needs as their lives progress and as their health statuses change.

Examples of available care services include:

• Housekeeping and maintenance
• Social services
• In-home rehabilitative services
• Yard work
• Community errands
• Transportation
• Meal services
• In-home nursing care
• Residential long-term care options including memory care, skilled nursing, and assisted living

Specific care services are available to residents based on their CCRC contracts. Generally, there are three types:

• Extensive life-care (Type A): This contract has the highest fees, but provides unlimited assisted living, medical treatment and skilled nursing care with little or no additional cost.
• Modified contract (Type B): This contract has a limited number of services available. Any services used that aren’t contracted incur monthly fees.
• Fee-for-service contract (Type C): The enrollment fee is typically lower but residents have to pay for specific services themselves including assisted living, skilled nursing, memory care, or whatever medical care they require.

Make sure you go over your contract several times and fully understand the terms and conditions prior to signing and moving into the CCRC. Some seniors feel more comfortable having an attorney review the contract.

Services and amenities vary depending on the CCRC and the location. Some CCRCs have luxurious amenities such as pools, spas, fitness centers, events centers, yoga centers, golf courses, tennis courts, etc.

The overall goals of these amenities is to allow seniors to age with grace, to enjoy their leisure time, and to provide social opportunities with potential peers.

The beauty of living at a CCRC is that staff tend to be very hands-off for residents who are healthy and do not require any medical or personal support. If any support is needed in the event that your health status changes, there is a wide variety in staff available.

This ranges from medical healthcare providers such as nurses and rehabilitation staff to personal support providers who assist with basic living needs. Each staff varies depending on the type of site you reside on.

Staff are on-call or “as needed” for independent living sites whereas residents who have transitioned to assistive living or nursing home care have medical and personal staff available around the clock.

Since you are moving into a new home, it’s expected that you will be bringing many of your personal belongings from home. This includes clothing, some furniture, and many personal items that you’ve come to use over the years.

However, there may be some limitations on what you can bring into your new apartment or living area. If you are moving in from a larger home, you may be expected to downsize or store personal belongings somewhere offsite because there is simply not enough room for everything.

Talk to the CCRC staff about their policies on bringing in personal belongings and what limitations there may be so you can be prepared

If you are over the age of 65, fully or partially retired, have the financial means, and are in good physical and cognitive health, then a CCRC may be right for you. You also have to be emotionally ready to sell your current home and embrace the transition into alternative housing.

If you feel that you can’t afford or have no desire to live in a CCRC, there are other retirement community options such as independent living. Although independent living often has less amenities and is not built to sustain your evolving health in the future, it’s a much more financially feasible option for many seniors and a way to continue enjoying their independent lifestyle.

If you are contemplating transitioning from a private residence to a CCRC, there are several questions you should keep in mind when choosing one including (but not limited to):

• What are the meal services like? What are my food options? Can I cook for myself?
• What medical and personal services are included in my contract?
• What services are available at an additional cost to me?
• What leisure and social activities are covered in my contract?
• How is security in my community? Is it gated?
• Are there any price hikes or increases that I should plan on?
• Is any portion of the entry free refunded upon death or relocation?
• What penalties do I incur for terminating a contract?
• What happens if I outlive my financial resources?
• How many people live in the community?
• What is transportation like?
• What are the living spaces like?
• Is there a visitation policy?

If you would like a tour of the CCRC, make contact with the community and arrange for one. If you have any hesitation at all, review your questions and make sure all of your concerns have been addressed. Talk to friends and family who’ve lived in CCRCs. Ask about the benefits and risks of signing on for a CCRC contract. If you are ready to dive in and commit to a lifelong residential arrangement for your retirement years, start your research today.