What Are Typical Long-Term Care Costs for Aging Adults in MN?

Many of us will need long-term care services and support when we reach our senior years. This care encompasses a wide range of medical, personal, and social services designed to help aging adults who can no longer perform basic activities of daily living—like bathing, dressing, eating, toileting, and moving around—live independently.

Seniors can receive daily assistance at home in the community, assisted living facilities, or nursing homes when their health declines due to physical or cognitive impairment. The costs associated with long-term care vary widely and depend on factors like the type and duration of care required and the setting where it’s delivered.

With Americans living longer than ever, understanding and planning for potential long-term care costs is more important than ever, especially in Minnesota, where high-quality care is not cheap.

Nursing Home Costs in Minnesota

For many families, paying for long-term care means confronting the high cost of nursing home care.

According to the annual Cost of Care Survey from insurance company Genworth, estimates that the average annual cost for a private room in a Minnesota nursing home in 2024 is $171,404, and $152,120 for a semi-private room.

To put those numbers into perspective, Minnesota is among the top five states for most expensive long-term care costs. With continuing increases expected, planning ahead for these expenditures grows even more essential to avoid financial disruption later in retirement years.

What Impacts the Cost of Nursing Home Care?

Several key factors account for the variation in nursing home costs across Minnesota:

Type of Long-Term Care Facility

Nursing homes providing round-the-clock skilled nursing care are the most expensive option. Assisted living facilities and memory care units, which offer less intensive care in a more home-like environment, have lower price tags.

Level of Care Needed

The severity of a senior’s physical or cognitive impairment and how much hands-on assistance they require daily also impact the cost significantly. Those needing help with most activities of daily living or constant medical care and supervision pay more.

Location Within Minnesota

Major regional differences in long-term care costs can exist even within the same state. As you might expect, facilities in and around Minneapolis, St. Paul, and Rochester are typically the highest-priced options statewide. Care in remote rural counties usually has a lower cost.

Home Health Care Costs

Home health care is a lower-cost alternative to facility-based care for seniors who want to continue living at home but require some daily assistance.

Home health services encompass everything from assistance with personal care like bathing and dressing to skilled medical services like wound care and injections—all provided at a senior’s residence.

Home health aides charge by the hour, while visits from nurses or therapists bill per session. You may also hire around-the-clock care for a set daily rate. According to Genworth, Minnesota’s median hourly rate for home health aides in 2024 will be approximately $30. This cost is around $185 for a daily 8-hour shift or $5,625 monthly for 12 hours of daily care. Rates typically range higher in Minneapolis or St. Paul versus rural counties.

Additional Long-Term Care Cost Considerations in Minnesota

Let’s briefly touch on a few other standard long-term senior care options and their associated costs here in Minnesota.

Assisted Living Facilities

Assisted Living facilities provide apartment-style housing, meals, medication management, personalized assistance with daily living activities, regular monitoring, organized social activities, and scheduled transportation.

According to Genworth, the median monthly base rate for a studio unit in an Assisted Living Facility in 2024 will cost approximately $4,926 statewide. This cost does not include care service fees and other charges. Monthly costs run closer to $5,000-$7,000, depending on the services needed and location.

Adult Day Services

For seniors still living at home who require some care and supervision during work hours, adult daycare centers provide personal assistance, medical care if needed, physical therapy, social engagement, structured activities, and meals or snacks daily.

Average fees start at $109 statewide per 8-hour day. Some long-term care insurance policies cover a portion of these services. And specific programs through the Minnesota Department of Human Services help subsidize costs for financially-eligible state residents.

Strategizing to Manage Long-Term Care Costs in Minnesota

The reality is that most Minnesota seniors will require some hands-on, long-term medical or personal care later in life. And the majority can expect to pay six-figure sums at home or in facilities. With proper planning, though, you can manage costs.

Qualifying for Medicaid Can Protect Your Assets

For many Minnesota seniors, the solution to long-term case costs lies in strategically positioning your income and assets to qualify for Medicaid’s long-term care benefits as soon as possible. While Medicaid is a needs-based program with strict financial requirements, there are legal methods to become financially eligible sooner rather than later.

By working with our Minnesota elder law attorney, you can employ sophisticated Medicaid asset protection strategies such as:

• Establishing specialized irrevocable trusts
• Making calculated asset transfers to loved ones
• Purchasing Medicaid-compliant annuity products
• Taking advantage of allowed income/asset exemptions

When executed properly following all federal and state rules, these techniques can help seniors gain Medicaid eligibility earlier than they could based on their original income and assets alone. This proactive approach protects assets from having to be completely spent down on long-term care.

Partner with Professionals to Chart the Best Course

With Americans enjoying longer life spans individuals who are 65 today have a 70% chance of needing long-term care in the future, whether at home, in assisted living facilities, or in skilled nursing homes.

Typical expenses easily run over $100,000 annually statewide. If structured properly, you can reduce the burden of these costs through careful financial planning early on and using resources like Medicaid.

Reaching out to a qualified Elder Law Attorney ensures all bases are covered.

Are You Ready to Start Planning for Long-term Care?

Safe Harbor Estate Law attorneys are experienced in elder law and estate planning specific to Minnesota and Wisconsin.

Our experienced lawyers help families make informed decisions and create customized roadmaps for navigating Medicaid qualifications, asset protection, and more.

Reach out for an initial Confidential Life and Legacy Session to discuss your specific situation. Proper planning and professional support provide peace of mind. Contact Safe Harbor Estate Law today to protect what matters most to you.