• National spending for "formal long-term care" in 2000: $137 billion (does not include family volunteer caregiving).¹
• Paid for by Medicaid: $62 billion or 45%¹
• Paid for by Medicare: $20 billion or 14%¹
• If the work of unpaid family caregivers was replaced by paid home care providers, estimates are it would cost $196 billion.⁴
• Percentage of Medicaid spent on ages 65 and over: 24%.⁵ Of this amount, 72.5% is for institutional care and 27.5% for home and community-based services.⁴
• Medicaid spending accounts for 20% of state budgets, the second largest expenditure after education.^1,2
• Despite federal and state spending, one-third of long-term care expenses are paid out-of-pocket by individuals and families.⁴
• By 2030, spending for Social Security, Medicare and Medicaid will amount to almost 60% of the federal budget.³
• Medicare covers 83% of all who die in the U.S.²
• 58.5% of Medicaid spending went towards nursing home care.⁴
• 35% of the annual federal budget goes to programs benefiting older persons.¹
• When Medicare was introduced in the '60s, 9% of the population was 65 and older, 0.5 % (1 million) was 85 and older. When the baby boomers start turning 85 in 2030, Medicare will be covering costs for 20% of the U.S. population, including 9 million who will be over 85.¹
• The Congressional Budget Office predicts that the cost of long-term care will reach $207 billion in 2020 and $346 billion in 2040.

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INSTITUTIONAL COSTS

• About 70% of nursing home residents are supported, at least in part, by Medicaid.⁸
• More than 90% of assisted living facilities are privately funded.⁴
• Avg. cost of a private room in nursing home in U.S.: $74,095/yr, or $203 a day.⁶
• Avg. cost of a semi-private room in nursing home in U.S.: $64,240/yr or $176 a day.⁶
• Avg. cost of a semi-private room in nursing home in New York City: $112,420/yr or $308 a day.⁶
• Avg. cost of assisted living facility: $34,860/yr or $2,905/month.⁶
• Avg. hourly rate for Home Health Aide provided by a home care agency: $19/hr
• Avg. in New York: $15/hr (2005)⁶
• Avg. hourly rate for a Home Health Aide as reported by the Bureau of Labor statistics: $8.77 nationally, $8.89 for New York state. (2003)⁷
• For 2004, Medicare payments for Home Health Care averaged $4050 per patient for an average of 31 visits at $129 per visit⁹
• Visiting Nurse Service bill to Medicare/Medicaid for nursing services: $135/visit