Guide>Let's talk money>MONTHLY SERVICE FEE

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This is the fee you pay EVERY month. 

Monthly fee for service

This is the monthly fee you must pay for as long as you live at the CCRC to maintain your residence at the CCRC and provide the contracted services. The fee covers the costs of living in the unit, such as some or all utilities, basic cable television, power, HVAC, trash, housekeeping, your meal plan, etc. In addition to the set monthly fee amount, each month you may also be charged for extra services that occurred during the previous month such as special health care, meal plan overage, special events, etc. The fee only stops after you have COMPLETELY vacated your unit for some reason such as death, moved to a higher level of care, or just moved out of the CCRC.

Meal plan included

Most CCRCs have a meal plan allowance that’s included in the monthly fee. Each time you or a guest order a meal at a CCRC dining facility, it is charged against the allowance. Some CCRCs allow any meal allowances not used during a year to be credited toward a monthly fee at the end of a year. At some CCRCs, any unused food allowance at the end of a month is forfeited. Some CCRCs allow any unused allowance in a month to carry over to the next month up to a set limit.

Examples of meal plans are as follows:

• All meals included.
• One meal per day, with or without an included continental breakfast.
• A set meal allowance per month, which may range from $300 to $600.

Increases in the monthly fee

The monthly fee WILL INCREASE an average of 3% TO 6% EVERY YEAR (in North Carolina in 2023 the fee increase was 8.6%), so be prepared for the increases. The increases have little correlation to inflation, they are primarily related to the CCRC's overall costs, of which labor costs are the greatest. You were informed about the annual increases in your contract so don’t complain about them later.

One of the most pressing issues for residents is the amount of increase in monthly fees each year. CCRCs are required by law to hold an annual meeting to discuss fee increases. The clarity and openness in how the administration presents financial information to support these increases is a real test of transparency. This is especially true for not-for-profit CCRCs that maintain their tax-exempt status by meeting criteria such as “to provide its services to the aged at the lowest feasible cost …” (Internal Revenue Code, Revenue Ruling 72-124).

It seems that all the CCRCs in the surrounding area come up with about the same percentage of increase each year. Coincidence?

Other monthly costs to consider

Remember that, in addition to the monthly fee, you will still have other monthly personal living costs, such as:

• renter’s insurance,
• vehicle payments, insurance, registration, maintenance, and taxes, 
• additional food costs,
• clothing,
• travel,
• life insurance,
• pet costs, such as veterinarian visits, mediations, and food, 
• health insurance and doctor bills,
• long-term health insurance,
• dental insurance and dental bills,
• audiologist visits and hearing aids,
• optometrist visits and glasses, and
• other medical, living, and recreation expenses.

Things that may help pay a portion of the monthly fee

VA Aid and Attendance or Housebound benefits

Who can qualify?

• Are you a Veteran age 65 or older, or 100% disabled?

• Did you serve at least 90 days of active military duty?

• Was at least one of those days during a period of war?

• Did you receive an Honorable Medical, or General, discharge?

• Do you meet the income and asset eligibility requirements?

VA Aid and Attendance eligibility

You may be eligible for this benefit if you get a VA pension and you meet at least one of these requirements:

• You need another person to help you perform daily activities, like bathing, feeding, and dressing, or

• You have to stay in bed—or spend a large portion of the day in bed—because of illness, or

• You are a patient in a nursing home due to the loss of mental or physical abilities related to a disability, or

• Your eyesight is limited (even with glasses or contact lenses you have only 5/200 or less in both eyes; or concentric contraction of the visual field to 5 degrees or less)

Housebound benefits eligibility

You may be eligible for this benefit if you get a VA pension and you spend most of your time in your home because of a permanent disability (a disability that doesn’t go away). However, you cannot get Aid and Attendance benefits and Housebound benefits at the same time.

In the case of CCRCs, these benefits relate to your need to live in an assisted living facility. For more information on these benefits, check out this link. If you think you may qualify for the allowance, contact your regional VA office. Find your nearest VA regional office

Long-Term Care Insurance

Long-Term Care Insurance usually can cover a set daily amount for housing and care of a senior living resident who needs assistance with a certain minimum set of Activities of Daily Living (ADL) wether it be in assisted living, memory care, or skilled nursing.

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