Pricing for Bayleigh Chase

A Continuing Care Retirement Community (CCRC) requires an upfront entrance fee from residents when they move in, which can reach several hundred thousand dollars. A CCRC entrance fee is designed in part to prepay for future healthcare needs using today’s dollars, thus avoiding higher costs in the future. The fee also secures a residence within the community, acting as an investment in the resident’s future care and subsidizing much of the higher care levels, such as assisted living or skilled nursing, if ever needed.

Essentially, residents join the community while still independent and able to fully enjoy its amenities. When a higher level of care like assisted living becomes needed, it is available on campus without a direct increase in their monthly fee. This arrangement allows them to prepay for these services at current rates, avoiding future inflation and financial uncertainty.

The specific terms and coverage provided by the entrance fee can differ based on the chosen contract.

Your monthly fee covers a range of services and amenities, including but not limited to:

• Utilities such as electric or natural gas, water, standard cable television, and wireless internet
• Taxes like property taxes
• Maintenance services that includes home repairs, lawn care and snow removal
• Amenities that include swimming pools, fine dining, opportunities to pursue hobbies, social activities, 24-hour security, and much more

If paying the monthly fees for a Continuing Care Retirement Community (CCRC) becomes challenging, downsizing to a smaller living space or seeking help from a benevolent fund, if one exists, can be viable solutions. These funds ensure residents can continue living in the community even if they outlive their assets through no fault of their own. When evaluating retirement communities, it’s crucial to inquire about their policies for those who outlive their assets and whether a benevolent fund is offered. A thorough financial assessment should typically be completed before residency, helping the resident to prepare for budgeting expenses while a participant in the community.

Due to high state taxes and cost of living, Maryland is the eighth most expensive state to retire in 2024. According to NetCredit, you will need just over $673,000 to retire comfortably in Maryland.

Living costs in Maryland retirement communities vary based on the type of care and specific community. According to data from the National Investment Center for Seniors Housing & Care, the monthly expense for a retirement community averages $3,960. The cost of living for retirees in Maryland is relatively high, but the state's diverse retirement community options providing excellent amenities and services can help many retirees find value in the expense.

In Maryland, retirees encounter multiple taxes such as state income taxes and additional local income taxes. Social Security benefits are exempt, but pension, 401(k), and IRA incomes are taxable, with some exclusions for seniors. The state imposes high property taxes and both estate and inheritance taxes, with exemptions for certain relatives. Retirees also face vehicle registration fees and personal property taxes on certain assets.

In a Continuing Care Retirement Community (CCRC), long-term healthcare expenses are included in your contract, making it unnecessary to determine their tax deductibility. Residents who itemize deductions can often deduct a large portion of their CCRC fees as prepaid medical expenses, covering both the entrance fee and monthly fees.