Understanding the cost of assisted living

If you’re considering assisted living, the monthly price may come as a surprise. According to our Cost of Care survey data in 2025, the national monthly median cost of assisted living was $6,200.

The breakdown below shows average assisted living costs in some of the most and least expensive states across the United States, giving you a starting point as you compare options.

How much does assisted living cost?

Assisted living costs can vary greatly from one community and location to another. A state-by-state analysis shows the national median cost of assisted living communities, but it may not include added expenses such as specialized medical care. The estimates in our Cost of Care data reflect reported costs, local living expenses, and the distribution of communities by size, which can have a significant effect on state pricing.

States with the highest average monthly assisted living costs in 2025

• Hawaii: $12,096

• Alaska: $9,882

• Massachusetts: $9,600

• Connecticut: $9,118

• New Jersey $8,710

States with the lowest average monthly assisted living costs in 2025

• South Dakota: $4,900

• North Dakota: $4,729

• Arkansas: $4,637

• Alabama: $4,425

• Mississippi: $4,369

When evaluating assisted living costs, remember that you or your loved one may receive a private room, three meals per day, 24-hour supervision, housekeeping, and daily nonmedical assistance as part of the monthly fee.

Once you add up housing, meals, health care, social activities, and other amenities included in the monthly fee, assisted living may cost about the same as care at home.

The original pricing analysis found that families beginning their search for senior living estimated a monthly budget 20% lower, on average, than what they could afford after accounting for services included by many assisted living providers. Although the initial price may feel discouraging, take time to understand exactly what the fee includes before deciding whether a community fits your budget.

Common assisted living pricing terms

Before looking more closely at assisted living costs, it helps to understand that community pricing can be complicated. Learning these common terms can make it easier to compare communities, ask informed questions, and anticipate your total monthly costs.

Community fee

A community fee is a one-time charge collected by most communities. It typically covers the administrative costs associated with helping a new resident move into the community.

Tip: Local senior living experts report that they can often negotiate this fee or have it waived.

All-inclusive pricing

All-inclusive pricing is the most straightforward assisted living pricing model. One price covers all monthly expenses.

Tip: This type of pricing is common in small or family-owned communities, often called board and care homes.

Monthly rent plus care fees

Under this pricing model, the cost of the resident’s room and board is separate from the monthly cost of care services.

There are two common types of care fees: levels of care fees and points-system pricing. In both cases, the community assesses the resident’s care needs and uses the appropriate level or number of points to set the monthly cost.

Tip: Communities may reassess care needs often, so ask how high the monthly price could go if those needs change. When touring assisted living communities, request a complete pricing sheet and ask how often the community reassesses levels of care.

How do assisted living communities differ?

If you’re comparing communities, you’ll find that pricing depends partly on the amenities and services each one offers. Assisted living communities may focus more on hospitality or health care. In some cases, luxury amenities and more extensive services can increase the overall cost of assisted living.

For example, some communities cater to older adults who don’t need higher levels of care and are more interested in a maintenance-free, social lifestyle.

Other assisted living communities focus on health care services for residents with more complex needs or provide memory care services. Within both of these categories, communities may also fall into three different pricing levels: basic, boutique, and luxury.

Basic assisted living community

For many older adults, a simpler lifestyle is a good fit. Choosing an assisted living community with fewer amenities and a lower price shouldn’t mean accepting subpar health care or comfort. It simply means you’re not paying for services you or your loved one doesn’t need.

For example, board and care homes may be a good option for older adults who need support but don’t want to pay the fees associated with a large community.

If you prefer gardening or knitting and need only minimal health care and supervision, you may not want to pay extra for pools, larger living spaces, extensive on-site health care, or a full schedule of social activities.

Basic assisted living communities may offer fewer food and activity options. Housing units are often small, shared, or studio-sized spaces. Even at a lower price, any community you consider should be impeccably clean and have friendly, well-trained staff and current certifications.

Boutique assisted living community

If you’re looking for a balance of price, amenities, and comfort, a boutique assisted living community may be a good fit. These communities usually offer:

• Comfortable, private studio apartments

• Certified medical staff available 24/7

• High-quality meal options

• Exercise classes and facilities

• Enrichment classes

• Regular social activities

A boutique assisted living community may also suit you or your loved one if care needs have increased. The higher cost often includes specialized staff trained in older adult health and wellness programs. Nurses with training in memory care, nutrition, mobility, medication management, and other areas may be available to provide support to your loved one at any time.

Luxury assisted living community

A luxury assisted living community may appeal to an older adult who wants extensive amenities or has increased care needs. These communities often have a hotel-like atmosphere and combine a resort-style lifestyle with around-the-clock medical care. You can generally expect a luxury community to provide:

• Gourmet, restaurant-quality meals

• Beautifully maintained grounds

• Modern, multiroom apartments with kitchenettes

• A full calendar of activities and social events

• All-day chartered excursions

• Premium exercise amenities, such as pools or yoga studios

• Concierge services

Customized, premium health care is also a priority. You can generally expect more personalized care and a lower staff-to-resident ratio than at basic or mid-level communities. Full-time nurses, nutritionists, memory care experts, physical therapists, and other professionals may be available to support residents’ individual needs.

Many luxury senior living communities also offer on-site support during an illness or medical emergency. The higher price may provide added comfort and reassurance that help is available whenever you or your loved one needs it.

Understanding the assisted living cost breakdown

Whatever level of amenities you choose, a good community should feel safe and secure and have certified, caring staff members. A lower price isn’t worth compromising your loved one’s health, comfort, or well-being.

What does assisted living cost for couples?

Each assisted living community has its own pricing structure for balancing the care needs and preferences of couples. If only one spouse needs help with medical appointments or activities of daily living, also called ADLs, that person may pay for those services while the other partner pays only for room and board.

In other cases, both partners may need care services and live in separate units suited to their individual needs. For example, one partner may live in assisted living while the other receives memory care.

With more than 30,000 assisted living communities across the United States, according to the CDC, couples can explore many types of housing arrangements at different prices. Take time to compare options that balance cost, care needs, and each partner’s preferences.

How do I know what I can afford in assisted living?

To understand what you or your loved one can afford, sit down together and carefully review where the money for all living expenses goes each month. Look at bills, receipts, transactions, and other financial records. Expenses may include, but aren’t limited to:

• Housing costs

• Monthly bills

• Taxes

• Transportation

• Food

• Medical expenses and nonmedical support, including help with activities of daily living (ADLs)

• Classes and activities

Next, research the costs of different assisted living options. Account for the current living expenses that the monthly assisted living fee will replace. The initial price may feel more manageable once transportation, food, household bills, cleaning services, and medical care are included in one monthly payment.

Ask each community to explain exactly what the monthly fee includes before you make a decision. Also ask about additional charges you should expect, such as community fees, grooming and bathing, medication management, and housekeeping.

Comparing all current expenses with the cost of in-home care and assisted living can help you decide which option better fits your or your loved one’s care needs, preferences, and budget.

Insurance and assisted living costs

Does health insurance pay for assisted living?

Standard health insurance doesn’t cover daily, extended care services in assisted living communities. Under strict conditions, programs such as Medicaid may pay for assisted living during a short-term stay.

Does long-term care insurance cover assisted living?

In general, long-term care insurance policies are designed to cover multiple types of care and may pay expenses at approved assisted living communities. Review your policy carefully to determine whether the community you’re considering meets all of the insurance company’s requirements.

Although many assisted living communities accept private long-term care insurance, an insurer may refuse payment if a community doesn’t meet its standards.

How much does long-term care insurance cost?

Long-term care insurance premiums vary widely based on location and coverage. The cited estimate for a 55-year-old is about $2,200 to $3,700 a year, according to AARP.

Your rates will depend on several factors, including:

• Your age and health

• Gender

• Marital status

• Amount of coverage

Government assistance for assisted living

Depending on your circumstances, government assistance may be available to help with some of the costs of long-term care. Here are answers to several common questions about these programs and benefits.

Does Medicare cover assisted living?

For many people age 65 and older, Medicare may temporarily cover some daily skilled care. However, this coverage has limitations.

How much does Medicare pay for assisted living?

The amount depends on how many days of your benefit period you’ve used and which services you need.

Does Medicaid cover assisted living costs?

Each state sets its own eligibility requirements and benefits for helping older adults afford quality assisted living. Visit the Medicaid website to learn whether you or your loved one may qualify.

Does TRICARE cover assisted living costs?

TRICARE currently doesn’t cover assisted living or the routine personal care associated with it. However, it does offer coverage for skilled nursing care.

Can Social Security pay for assisted living?

Social Security benefits can be used to pay for assisted living.

Does veterans assistance cover assisted living?

The Department of Veterans Affairs offers many benefits, services, and forms of financial assistance for older adults or their spouses who served more than one day during a designated war.

Are assisted living expenses tax-deductible?

Housing and meal costs in assisted living aren’t tax-deductible, but some money spent on care may be. Generally, out-of-pocket medical costs must exceed 10% of adjusted gross income, and the resident must be considered chronically ill for assisted living care expenses to qualify.

This means a doctor or nurse has certified that the resident either:

• Can’t perform at least two activities of daily living, such as dressing, eating, toileting, or transferring; or

• Requires supervision because of a cognitive impairment, such as dementia.

A licensed health care professional must recommend the service as part of a formal care plan. For example, if a resident’s doctor recommends help with bathing and continence, those services may be deductible. However, medication management or dressing costs can’t be deducted as medical expenses if they aren’t part of the care plan.

Be sure to visit the IRS website for more information and current guidance.

Ready to learn more about assisted living costs?

You can learn more in our comprehensive guide to paying for assisted living. Depending on their income, some older adults and their families may qualify for additional assisted living options.

You can also talk with a local senior living expert who understands the details of paying for assisted living in your area. These professionals may know about programs or financial strategies available at the communities you’re considering and can help you understand the available options.

A senior living expert may also be able to negotiate rent on your behalf, helping you or your loved one find an assisted living community that fits your care needs, preferences, and budget.