Long-Term Care Calculator
Estimate the future cost of long-term care and the gap your savings leave, so you can size coverage.
Want to understand the concept, not just the number? Read The Insurance Decisions Guide .
How it's calculated
Long-term care is the biggest expense most people never plan for. About 70 percent of people over 65 will need some form of it, from home aides to a nursing home, and it is not covered by Medicare beyond short stays. The costs are staggering and rising faster than general inflation, so what looks manageable today can be enormous decades out.
Work the default. Care that costs 60,000 dollars a year today, grown at 4 percent inflation over 25 years, will cost about 159,950 dollars a year by the time you might need it. Over an expected 3 years of care, that is about 479,851 dollars in total. Subtract 100,000 dollars you have earmarked, and the gap you would need insurance or more savings to cover is about 379,851 dollars. That gap, and the daily benefit of about 438 dollars it implies, is what long-term care insurance is sized to fill.
There are a few ways to handle the risk. Self-insure by earmarking enough savings, buy long-term care insurance to cover the gap, or use a hybrid life-insurance policy with a long-term care rider. Insurance is cheaper to buy younger and healthier, but premiums can rise, so weigh it against simply investing the money. This calculator sizes the need so you can decide how to cover it. Adjust the years until care and the cost to fit your situation.
Assumptions
- Today care cost is grown by care inflation to when you might need it, times the expected years of care, minus resources you have set aside. The daily benefit is the future annual cost over 365.
- This sizes the need, not the insurance premium. Actual care costs vary widely by type and location, and not everyone will need care.
Last updated: 2026-08-08
These assumptions follow our general methodology.
Frequently asked questions
How much does long-term care cost?
A lot, and it varies by type and location. A private nursing-home room exceeds 100,000 dollars a year in many areas, assisted living and home care less. Costs have risen faster than general inflation, so future costs can be far higher than today figures.
Does Medicare cover long-term care?
Largely no. Medicare covers only short, skilled stays after a hospitalization, not the ongoing custodial care most people need. Medicaid covers it only after you have spent down your assets. That gap is why people plan separately for long-term care.
Should I buy long-term care insurance?
It depends on your assets and risk tolerance. Those with modest savings may rely on Medicaid, and the very wealthy can self-insure. For many in between, insurance or a hybrid policy covers a risk that could otherwise wipe out their savings. Buying younger is cheaper.
What is a daily benefit?
Long-term care insurance often pays a set amount per day of care. This calculator estimates the daily benefit implied by your future annual cost, so you can compare it to the benefit a policy offers when shopping for coverage.