If you’re considering moving into a retirement community, one of the first things you’ll want to understand is the cost. This includes any upfront costs, like an entry fee (if applicable), as well as the monthly costs. While pricing can vary significantly depending on the location, type of community, type of contract, and level of care needed, most retirement communities do charge a monthly service fee. But what exactly does the monthly fee of a retirement community cover? It’s important to know what is — and isn’t — included in the monthly charges to help you make an informed decision about affordability.

The basics: What is typically included in a retirement community’s monthly fee?

Retirement communities offer a wide range of services and amenities, which can vary greatly from community to community. Your monthly service fee usually covers some combination of these services/amenities based on the type of community you choose (e.g., an independent living community or continuing care retirement communities [CCRC or “life plan communities”]) and your contract’s specifications. 

Also, depending on the community and contract type, the monthly fee may be consistent throughout the time you live there, or the fee may fluctuate based on your specific preferences or needs.

In short, monthly fees can vary widely based on a variety of factors. This is why it is so important to ask and understand exactly what is — and isn’t — included in the monthly fee for each retirement community you are considering. But to give you a general idea, here’s a breakdown of what’s often included in the monthly fee for a retirement community:

Housing costs

  • Rent or mortgage: For most residents of a retirement community, the largest portion of the monthly fee goes toward the cost of their housing. Depending on the type of community and/or your residency contract type, this might be a monthly or annual lease. (At continuing care retirement communities, the monthly payment is typically called a monthly service fee.).
    Rather than offering rental contracts, some retirement communities require the resident to buy their home. In this case, there would not be a monthly housing expense unless there is an HOA or the resident takes out a mortgage on the home. 
  • Maintenance: Maintenance of your living space’s exterior and landscaping is almost always included in the monthly fee. In some instances, interior maintenance such as upkeep and repair of inside plumbing, electrical fixtures, and appliances is also part of the monthly retirement community fee.
  • Utilities: Basic utilities like electricity, water, heating, and cooling are typically covered by the monthly fee for most senior living communities. You may have to pay separately for phone services, cable, or internet, but these services are also included in the monthly fee for some communities.

>> Related: Distinguishing Between Types of Retirement Communities

Meals and dining

Although some 55+ independent living communities have no on-site food services, the majority of other types of senior living communities do offer on-campus dining — in a dining room or restaurant-style setting (or potentially delivered to the resident if they live in a care setting). 

Communities with food services usually offer various meal plans to residents as part of their monthly fee. Depending on your preferences and situation, you can purchase from one to three meals per day.

The quality and variety of meals can vary dramatically from one community to the next (which is why we suggest dining on-campus several times before making a decision to move). However, menus are generally overseen by a dietician to meet the nutritional needs of older adults. If you have special dietary needs — such as low-sodium, gluten-free, or diabetic-friendly options — these are often accommodated in the meal plans without additional charge. However, it is important to be extra sure about this as some providers will be more accommodating than others.

>> Related: Food for Thought: How CCRC Meal Plans Work

Housekeeping and laundry services

Many retirement communities provide housekeeping services as part of the monthly fee. This can include regular cleaning of your residence, such as dusting, vacuuming, and sanitizing. Some communities also offer linen and/or laundry services, or access to on-site laundry facilities, as part of the monthly fee. This could include washing, folding, and sometimes even dry cleaning. If these services are included, be sure you know how much is provided. In some cases, a resident may require more than what is included. 

Transportation services

Many retirement communities offer transportation to and from local destinations, such as shopping centers, medical appointments, or entertainment venues. This may be included in your monthly fee or available for a small additional charge.

Some communities also provide residents with valet or concierge services to assist with their personal transportation needs, such as scheduling rides or driving residents to appointments or events. Again, this may be included in the monthly fee or be offered for a nominal additional fee.

Social and recreational activities

  • Events and programs: Social engagement is a key part of life in retirement communities, and many offer residents a wide variety of recreational and cultural activities as part of the monthly fee. This may include continuing education opportunities, arts and crafts activities, affinity clubs, movie nights or other entertainment, group outings, or resident socials.
  • Fitness and wellness: Almost all retirement communities will have some type of on-site fitness options for residents included in the monthly fee. Depending on the community, this might include access to on-site fitness centers and classes, swimming pools, tennis courts, and/or other wellness programs. Some even have amenities like golf courses, though greens fees/carts are usually charged separately. Some communities also offer on-site physical therapy and rehabilitation services for residents who need them, though this would often be charged as needed and separately from the monthly fee as well.

>> Related: Comfort, Convenience, Connection: The Key Benefits of a Retirement Community

Safety and emergency services

Retirement communities often include security services such as on-site security personnel, surveillance cameras, and/or gated entrances as part of the monthly fee. As part of the monthly fee, some communities also offer in-residence or wearable emergency alert systems, so residents can easily summon help in case of an emergency.

Medical and wellness support

Research shows that roughly 3 in 5 people will require long-term care services at some point in their life. In more care-focused senior living communities, staff are usually available around the clock to assist residents with certain medical or personal care needs. Oftentimes, the amount or level of care included in the monthly fee will vary based on the type of community. For example:

  • Assisted living communities: For older adults in need of assistance with activities of daily living (ADLs) like bathing, dressing, or medication management, assisted living facilities typically include a certain amount of support services within the monthly fee.
  • Skilled nursing care and in-patient rehabilitation facilities: For higher levels of care, such as skilled nursing care or rehabilitation services, some care costs may be included in the monthly fee, but more extensive care needs often come at an additional cost.
  • Memory care communities: These unique communities provide specialized services to those with dementia or other memory issues as part of the monthly fee. This is often a more expensive senior living option than a standard independent living or assisted living community, however.
  • Life plan communities/CCRCs: For those living in a CCRC, the transition from living independently to requiring care services may or may not increase the amount of a resident’s monthly fee, depending on the type of contract they have. Many CCRCs require an entry fee in addition to the monthly fee, which may or may not be refundable in the future. 

>> Related: A Primer on CCRC Residency Contracts

What’s NOT typically included in the retirement community monthly fee?

As you can see, many services and amenities are bundled into the monthly fee of a retirement community. However, there are still certain things that may require additional payments. It’s essential to clarify these costs before committing to a retirement community in order to understand what your monthly costs will look like. 

Some examples of services that may be offered by certain communities but billed separately (either directly to the resident or to their insurance), depending on the type of community and the resident’s specific contract type:

Insurance and taxes

  • Renters insurance on your possessions or homeowners insurance on your residence (separate from the community’s general liability insurance)
  • Any property taxes on your residence that are not included in the monthly fee (Note: Property taxes generally are included either in the monthly fee or, depending on tax status of the community, not required. But for communities where residents buy the home, they may be required to pay separate property taxes.)

Personal care and medical services

  • Extra health services such as more personalized care or one-on-one assistance with daily tasks, physical therapy, or specialized medical treatments
  • Medications, medical supplies, and medical equipment like walkers, hearing aids, and other health-related items 

Optional extras

  • Salon, barber, or spa services
  • Certain special events or off-site excursions 
  • Reserved parking (in some cases)
  • Upgraded dining options like private dining rooms or certain specialty meals
  • Guest or extra meals 

>> Related: Are You Wasting Money by Living in a Home That is Too Big?

Understanding your total monthly expenses in a retirement community

For older adults pondering a senior living move, it’s important to ask detailed questions about what is covered in the monthly fees of a retirement community … and what isn’t. Make sure you have a clear understanding of the fee structure of each community you are considering, as well as any additional costs you may face based on your specific needs or lifestyle preferences. You should also ask about the community’s policy on price increases, as these monthly service fees can rise over time.

Ultimately, the objective is to find a community that provides the right balance of services, amenities, and affordability. Understanding what’s included in a retirement community’s monthly fees can help you make a well-informed decision that fits your senior living goals and budget.

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