Assisted Living Costs Per Month

Assisted living runs about $6,200 a month nationally, or $74,400 a year. That's meaningfully less than a nursing home, and it rose faster than any other type of care in the most recent survey. The important catch: Medicaid generally will not pay your rent there.

Figures are national medians from the CareScout Cost of Care Survey, data collected July to November 2025, the long-running survey now published by CareScout. Last verified July 30, 2026.

If a parent needs more care than assisted living provides, compare against what a nursing home costs, which is the setting Medicaid does fully cover.

What does assisted living cost?

National median cost by type of care

Type of care	Per month	Per year
Assisted living	$6,200	$74,400
Nursing home, shared room	$9,581	$114,975
Home care, about 44 hours a week	$35 an hour	$80,080

Location moves this figure more than anything else, and the difference between a metropolitan area and a rural county in the same state can be thousands of dollars a month. Treat the national median as a planning figure, never a quote.

What's in the monthly bill?

Most communities charge a base rent covering the apartment, meals, housekeeping, activities and staff on site. On top of that sits a care fee based on how much help the resident needs, usually assessed in tiers or points.

That care fee is what makes budgeting hard. It is reassessed as needs increase, so a bill that started manageable can climb substantially within a year or two. Ask for the community's fee schedule and how often levels are reviewed before signing anything.

Watch also for a one-time community or entrance fee at move-in, plus separate charges for medication management, incontinence care and transport.

Assisted living or a nursing home?

The distinction is the level of care, not the price. Assisted living suits someone who needs help with daily activities but not continuous nursing care. A nursing home provides skilled nursing around the clock.

The financial consequences run opposite to what families expect. Assisted living costs less but is mostly paid for privately. A nursing home costs more but is fully covered by Medicaid once you qualify. Families sometimes spend their savings on assisted living and arrive at the nursing-home stage with nothing left.

Will Medicaid pay for assisted living?

Partly, in many states, and not the part you most want covered. Federal rules bar Medicaid from paying room and board in an assisted living community. What some states do cover, through home and community-based waivers, is the care services delivered there: personal care, medication management, help with bathing and dressing.

Those waiver programs are capped rather than guaranteed, so waiting lists are normal, and not every community accepts waiver residents. Ask a community directly whether it accepts your state's waiver, and ask before move-in rather than after.

How families actually pay for it

Usually a combination: retirement income and savings, proceeds from selling a home, a long-term care insurance policy if one exists, and for veterans, the VA Aid and Attendance benefit, which is regularly overlooked and can add a meaningful monthly amount.

If money is likely to run out, plan the transition before it does. Read who qualifies for Medicaid and what counts as an asset while there are still choices to make.

Common questions

Why is assisted living cheaper than a nursing home?

Staffing. Assisted living provides help with daily activities and staff on site, while a nursing home provides licensed skilled nursing around the clock. The care level, not the accommodation, drives the difference.

Does Medicare pay for assisted living?

No, not the rent and not the personal care. Medicare covers medical services wherever you live, but assisted living itself is not a covered benefit. See what Medicare covers.

Will the monthly price go up?

Expect it to. Communities typically raise base rent annually, and the care portion rises separately as needs increase. Ask for the last few years of increases before committing.

Can we be asked to leave if money runs out?

Yes. Assisted living is largely private-pay, and a community can discharge a resident who cannot pay, subject to your state's notice rules. This is the strongest reason to understand the Medicaid path before savings are exhausted.

Sources

• CareScout, "Cost of Care Survey," data collected July through November 2025, for every cost figure on this page.

Written and reviewed by Owen Hastings. Last reviewed July 30, 2026. Read our editorial policy for how we source and check these figures.