Long-term care costs: Medicare won't pay, and the nursing home wants mom's Social Security. Can they take her money?

Core Insights - Medicare provides coverage for skilled nursing care under specific conditions, such as post-hospitalization, but does not cover routine custodial care [2][3] - The median annual cost for a semi-private room in a nursing home is projected to be $114,665 by 2025, highlighting the financial burden of long-term care [4] - Women over 65 have a higher likelihood of requiring long-term care compared to men, with 51% of women expected to need paid care versus 39% of men [9][10] Medicare and Long-Term Care - Medicare covers skilled nursing care for up to 100 days under limited circumstances, but does not cover custodial care for individuals unable to perform basic life tasks [2][3] - If an appeal for Medicare coverage is unsuccessful, individuals will be classified as private pay patients and will be responsible for nursing home costs [6] - Medicaid can cover nursing care, but eligibility requires individuals to have countable resources below $2,000 [7] Financial Planning for Long-Term Care - Long-term care insurance is recommended to mitigate the financial impact of nursing home costs, which can deplete retirement savings [11] - Various options for long-term care insurance are available, including hybrid life or annuity products that offer long-term care benefits [12] - Consulting with an elder law attorney can assist in appealing Medicare denials and protecting assets [13] Investment Strategies - Older Americans are encouraged to build a financial cushion to manage long-term care costs, with options like automated investing through platforms such as Acorns [18][19] - Gold IRAs are presented as an alternative investment to help cover long-term care expenses, offering tax advantages and the ability to invest in precious metals [21][22]