The asset and income profile of residents in seniors care communities
- Collection:
- Health Policy and Services Research
- Series Title(s):
- Center for Retirement Research working paper
- Contributor(s):
- Coe, Norma B. Boyle, Melissa. Center for Retirement Research at Boston College.
- Publication:
- Chestnut Hill, MA : Center for Retirement Research at Boston College, c2009
- Language(s):
- English
- Format:
- Text
- Subject(s):
- Housing for the Elderly -- statistics & numerical data Income -- statistics & numerical data Residence Characteristics -- statistics & numerical data Aged Assisted Living Facilities -- economics Assisted Living Facilities -- statistics & numerical data Data Collection Health Status Housing for the Elderly -- economics Insurance, Health Long-Term Care -- economics Medicare Middle Aged Retirement -- economics Humans United States
- Genre(s):
- Technical Report
- Abstract:
- Understanding the economic characteristics of residents in seniors care communities is important to understanding the demand for these services as well as how individuals are paying for this type of care. It is particularly critical now given the recent steep decline in both the housing and equity markets, which could significantly erode the assets available to pay for senior housing. Previous research has examined various economic aspects of individuals who live in residential care communities. However, most of the existing literature focuses on detailed income information available for small, selected samples, which lack asset information or raise concerns about national representativeness. In order to fill this gap in the literature, this project examines income and asset information that is readily available in three nationally-representative surveys, previously underutilized for analyzing information about individuals in seniors care communities. By providing such information, this study: (1) provides a strong base for further research; (2) helps the public sector craft effective long-term care policies; and (3) aids the private housing and care industry in providing appropriate facilities and services. This study, using existing data sources, reports the income and assets of individuals in three categories of senior housing and care facilities -- independent living communities (ILCs), assisted living residences (ALRs), and continuing care retirement communities (CCRCs). The results show that residents in both ILCs and ALRs have average incomes that are lower than the average costs of those types of care communities. Not surprisingly, then, the wealth of residents in independent living communities is lower, on average, than those living in private residences, potentially due to spending down assets in order to cover the monthly payments. Conversely, CCRCs attract the wealthiest residents of all three care facilities. CCRC residents also tend to have higher incomes and asset than even those living in private residences, suggesting a substantial difference in the type of clientele that moves into continuing care versus other types of care communities. This study also examines the characteristics of individuals who move from private residences into the different types of care communities. The sample size is too small to provide information on those moving to ALRs. The data show a strong age gradient for moving into ILCs and CCRCs. Interestingly, baseline health does not seem to determine who eventually moves into a care community, but having higher income and assets does matter.
- Copyright:
- Reproduced with permission of the copyright holder. Further use of the material is subject to CC BY license. (More information)
- Extent:
- 32 p.
- NLM Unique ID:
- 101516916 (See catalog record)
- Permanent Link:
- http://resource.nlm.nih.gov/101516916