The cost of nursing home care is on the rise in New Jersey, according to a new study.
Prices in the state, on average, went up 6 percent from 2016 to 2018 for a semi-private room. They rose a whopping 11 percent for a private room. That makes New Jersey the seventh most expensive state for nursing home care.
The study, by SeniorLiving.org, was based on the most recent data from the 2018 Genworth Cost of Care Survey.
The average cost of a semi-private room in New Jersey is $10,646 per month or $127,752 per year, the study found.
That compares to the national average of $7,441 per month or $89,297 per year.
A private room costs in New Jersey costs even more: $11,863 per month or $142,356 per year.
Nationally, a private room averages $8,365 per month or $100,375 a year.
Costs are expected to continue to skyrocket, with the average annual price tag nationwide reaching a projected $120,008 for a semi-private room by 2028, and $134,896 for a private room, the study said.
The higher cost in our state is not indicative of better care, said Jerry Lynch, a certified financial planner with JFL Total Wealth Management in Boonton.
“A lot of the cost is a function of living in New Jersey," Lynch said.
While New Jersey’s price increases are painful, three states - Alaska, Minnesota and Nevada - saw even higher double-digit increases.
Alaska’s numbers are the most shocking. The average annual cost for a semi-private room is more than $330,000, up 25 percent over two years, while a private room costs $350,000 per year, up 13 percent over two years.
Alaska’s costs are so high in part because it’s hard to find and maintain 24-hour skilled caregivers because of the state’s smaller population and because there are high costs for heat and electricity in more remote areas, according to published reports.
Only Delaware, the District of Columbia, Kansas, Montana and South Carolina saw nursing home prices go down over that time period, the study said.
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