How Much Does Long-Term Care Cost? 2025 Data by Care Type
2025 Genworth Cost of Care Survey figures for home health aides, assisted living, and nursing homes — and why Medicare almost never covers it.
Per the 2025 Genworth Cost of Care Survey, a full-time home health aide runs about $55,000/year, assisted living about $74,400/year, a semi-private nursing home room about $114,975/year, and a private room about $129,575/year. Medicare covers almost none of this — it's limited to short-term skilled care after a hospital stay, not ongoing custodial care.
Find your own funding gap with our long-term care insurance calculator.
Long-term care is one of the largest and least-planned-for expenses in retirement, mostly because of a persistent misconception: that Medicare will cover it if the need arises. It largely won't. Here's what care actually costs by type, and how to think about the gap between what you'd need and what you already have covered.
2025 Cost of Care, by Type
| Care type | National median annual cost |
|---|---|
| Home health aide (full-time) | $55,000 |
| Assisted living facility | $74,400 |
| Nursing home, semi-private room | $114,975 |
| Nursing home, private room | $129,575 |
Source: 2025 Genworth Cost of Care Survey national medians. Actual costs vary substantially by state and metro area — the survey's regional breakdowns can differ from the national figure by wide margins in either direction, so treat these as a starting reference point, not a local quote.
Why Medicare Doesn't Solve This
Medicare covers short-term skilled nursing or rehabilitation following a qualifying hospital stay — typically capped around 100 days — but it explicitly excludes ongoing custodial care: help with bathing, dressing, eating, and other daily living activities, which is what the bulk of long-term care actually consists of. Medicare Supplement (Medigap) plans, which fill Original Medicare's other cost-sharing gaps, don't change this either — see our Medigap Plan G vs Plan N guide for what those plans do and don't cover.
Worked Example: Finding Your Funding Gap
A household expecting to need assisted living for 3 years, with $50,000 in dedicated savings and no existing long-term care insurance:
| Step | Calculation | Result |
|---|---|---|
| Annual cost (assisted living) | — | $74,400 |
| Total estimated cost (3 years) | $74,400 × 3 | $223,200 |
| Covered by savings + insurance | — | $50,000 |
| Funding gap | $223,200 − $50,000 | $173,200 |
That gap is what long-term care insurance, additional savings, or family support would need to close. Adjust the care type, years, and existing coverage for your own situation with the long-term care insurance calculator.
Worth knowing: Medicaid does cover long-term care, but only after spending down assets to your state's eligibility threshold — most financial planners treat it as a last-resort safety net rather than a primary funding plan, which is why closing the gap with insurance or savings is worth evaluating well before care is actually needed.
Frequently Asked Questions
How much does long-term care cost in 2025?
Per the 2025 Genworth Cost of Care Survey, a full-time home health aide runs about $55,000/year, assisted living about $74,400/year, a semi-private nursing home room about $114,975/year, and a private nursing home room about $129,575/year.
Does Medicare pay for long-term care?
Only in narrow circumstances — Medicare covers short-term skilled nursing or rehab after a qualifying hospital stay, typically capped at 100 days, but it does not pay for ongoing custodial care like help with bathing, dressing, or daily living, which is what most long-term care actually consists of.
How long do people typically need long-term care?
Needs vary widely by individual, but multi-year care is common enough that most long-term care planning tools model at least 2-4 years of care when estimating a funding gap, rather than a single year.
What's the difference between home health aide costs and a nursing home?
A home health aide is typically the least expensive option per the Genworth data, since care is delivered part-time or hourly in your own home rather than paying for round-the-clock staffing, meals, and facility overhead the way assisted living and nursing homes do.
How do I know if I have a long-term care funding gap?
Compare your expected annual care cost, multiplied by how many years you might need it, against your dedicated savings plus any existing long-term care insurance benefit — the shortfall is your funding gap, which is what long-term care insurance or additional savings needs to close.
Is Medicaid an option for long-term care?
Medicaid does cover long-term care, but only after you've spent down assets to your state's eligibility threshold — it's generally a last-resort safety net rather than a planning strategy, which is why most financial planners recommend evaluating insurance or savings first.
