Veteran Benefits for Assisted Living

If you served the United States of America as a member of the armed services, you may be entitled to certain benefits that could make some aspects of getting older a little easier. Namely, the U.S. Department of Veterans Affairs offers some funding programs that can help offset the cost of certain kinds of care later in life. For some people, this sort of benefit can be a real help when weighing how to pay for assisted living or other long-term care options.

"Veterans and their spouses have multiple financial benefits that can help cover the cost of assisted living," says Rick Wigginton, senior vice president of sales at Brookdale Senior Living, a Tennessee-based company that has more than 800 senior living and retirement communities across the United States.

Wigginton says that Brookdale, like many other senior living companies, seeks to "help many veterans maximize these benefits, which in some cases can really reduce the cost of senior living." Senior living options can get expensive. Every little bit that can help offset these sometimes-large costs is often a welcome relief for families.

[See: 11 Things Seniors Should Look for in a Health Provider.]

Still, Wigginton makes a point to note that "the VA will not pay for a veteran's rent," in an assisted living facility. However, VA benefits "may pay for some of the extra services they need such as nursing assistance, help with bathing and toileting and possibly even meals." This is the same as with Medicare, the federal health insurance program for adults 65 and over. Medicare does not cover the cost of assisted living facilities, but might cover some qualified medical expenses incurred by people who live in assisted living communities.

Aid & Attendance and Housebound

While there are a range of benefits that may kick in depending on your specific service history and eligibility, Wigginton says "the most commonly used benefits are the Aid & Attendance Pension and the Survivor's Pension, which is for spouses of a deceased veteran with wartime service."

The VA's Aid & Attendance and Housebound program is part of the pension benefits paid to veterans and survivors. The VA reports that these Aid & Attendance and Housebound benefits "are paid in addition to monthly pension, and they are not paid without eligibility to pension," meaning that you can't access this benefit if you're not a pensioned veteran or survivor of a pensioned veteran.

Aid & Attendance kicks in when you meet one of several potential conditions, including:

-- Requiring the aid of another person to perform personal functions such as bathing, dressing, eating, toileting or staying safe from hazards in your daily environment.

-- Being disabled to be point of being bedridden, beyond what would be considered normal recovery from a course of treatment such as surgery.

-- Being a patient in a nursing home because of physical or mental incapacity.

-- Having very poor eyesight (5/200 corrected visual acuity or less in both eyes) or a field of vision limited to 5 degrees or less.

Individuals may qualify for Housebound benefits, which are added to your standard monthly pension, when you are "substantially confined to your immediate premises because of permanent disability," the VA reports. Eligibility for the program is determined on a case by case basis and involves a thorough review by the VA.

"There are certain qualifications for each of these benefits," Wigginton says, "starting with length of service. The Aid & Attendance Pension can provide a single veteran with up to $1,881 per month and a married veteran could get up to $2,230 each month. Unfortunately, many qualified veterans are underserved each year because they do not know what benefits are available."

Getting the word out about these benefits to retired or discharged service members is important because these benefits can be significant, says Roxanne Sorensen, an Aging Life Care specialist and owner of Elder Care Solutions of WNY in Rochester, New York, a case management consultancy. It's money you earned while serving your country, and she says this federal money can help her clients "stretch what their investments or savings can do." VA benefits can perhaps "buy them a year or two instead of having to utilize all their checking, savings and annuities. I always try to tap into the VA system if possible, as that's a really great way of putting someone into assisted living or assisting with nursing home placement," she says.

Given that it's impossible to know how long you'll live or how much money you'll need, it's important to maximize the money you've saved so that you can afford high-quality care for as long as possible. If VA benefits can help you do that, so much the better.

[See: 7 Red Flags to Watch for When Choosing a Nursing Home.]

Applying for VA Benefits

"Applying for veteran benefits can be complicated," Wigginton says, but Brookdale partners with an organization called Patriot Angels that has specialized expertise in assessing eligibility and procuring benefits for veterans. "That's really the easiest route to take, as they'll walk you through the process," he says.

But you can always apply on your own as well or work with a company that helps veterans apply for benefits. To get started in applying for basic veteran's health benefits, you'll need several documents, including:

-- Your most recent tax return.

-- Account numbers for your current health insurance provider.

-- Social Security numbers for yourself and your spouse.

-- An application for health benefits from the VA called the 10-10EZ form.

If you want to see whether you have access to Aid & Attendance and Housebound benefits, that involves a separate application. Each state has its own Pension Management Center that processes Aid & Attendance and Housebound benefits applications. You'll need to gather several documents to help fill out an application form and then mail the completed paperwork off to the PMC to see whether you qualify. This process can be complex and confusing, so you may want to connect with a VA social worker for help and guidance through the process. There are also private consultancies that may assist veterans with navigating the process. But watch out for scams -- you should work only with a VA-accredited individual or organization. You can check the VA's database to find out if someone you're considering working with is accredited.

Documents you should have on hand in order to fill out the application forms include:

-- Discharge or separation papers (DD Form 214). These documents can be requested from the National Archives if you don't have a copy available.

-- Copy of your marriage certificate.

-- Copy of a death certificate, if you're the surviving spouse who's applying for benefits.

-- A current social security award letter (a letter issued annually that states what your monthly social security benefits will be the following year).

-- Financial information including bank statements and statements about any stocks, bonds or annuities you may own.

-- A doctor's letter that lists current diagnosis, prognosis and details about your ability to care for yourself.

-- If you already reside in a nursing home, you'll need a letter from the facility stating that you're a resident.

-- Other medical documents, including medications, medical bills and insurance statements detailing your recent medical expenditures.

-- List of all doctors and health care institutions you've visited within the last year. (Filling out a VA Medical Expense Report can help make this list easier to draft.)

-- If you're a legal guardian applying on behalf of your ward, have that documentation available.

-- If you're under the age of 65, have your employment history on hand.

With those documents gathered, you can begin filling out the application forms made available by the VA. The key documents are VA Form 21-527EZ for veterans and VBA-21P-534EZ-ARE for survivors.

Start Sooner Rather Than Later

As with most discussions surrounding senior care, one of the key things to keep in mind is that starting earlier is far preferable to jumping into a panicked decision late in the game. "The challenges of aging are often compounded by waiting too long to consider your options," Wigginton says. "Start talking about senior living options way before you have to make a decision. You'll have more opportunities to visit places and more time to really decide what services and amenities you want and need. Ultimately, the price of senior living will be determined by your care needs, the amenities you want and where you want to live."

All of these and many other factors should be carefully weighed when you and your family discuss how and when to make the transition to assisted living or a skilled nursing facility.

It's also good to recognize that "after comparing all the costs associated with living in a house to everything that comes with a senior living community, many people realize that senior living is more affordable than they first thought," Wigginton says. Indeed, a 2018 survey conducted by Genworth Financial found that the median monthly cost for an assisted living community is $4,000 -- totaling $48,000 annually. By comparison, long-term care by a home health aide tops $4,195 monthly or more than $50,300 annually. And skilled nursing in a private room will set you back $8,365 per month, adding up to more than $100,000 per year. These are medians, so there's plenty of variability -- an assisted living facility isn't always less expensive than other care options. But it warrants investigation rather than being dismissed outright as too expensive.

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Dealing with finances, especially with respect to end-of-life care, isn't easy. But it's important to make an unemotional assessment of your financial resources and wherewithal, Wigginton says. "To get a better understanding of your financial situation, make a list of everything you're currently paying for. Are you providing yourself three meals a day, paying for utilities, a mortgage, home repairs, yard maintenance, transportation, cable and internet, in-home care or services? Then compare that to everything that's included in independent or assisted living, where you don't have to do much of the work and neither does your family."

Your and a caregiver's time and energy are worth money, so calculate that in. You may be surprised to discover that assisted living makes a lot of financial sense.

In addition to accessing veteran's benefits, you may have other resources available to pay for a senior living arrangement. Wigginton says many people "use their savings, annuities, pensions and social security. A big source of payment is the sale of a home." Long-term care insurance is another option. Any and all of these make up your unique financial picture.

In addition, it's often helpful to speak with a financial advisor, attorney or other trusted and knowledgeable professional to help you take stock and wade through your options.