McKnight’s recently reported on a new study that finds there are more than 5.5 million people living with dementia in the United States (US), with the cost of unpaid care making up a significant portion of care costs. In 2019 approximately $277 billion was spent caring for people living with dementia and unpaid caregivers incurred about $224 billion worth of care related spending. What is interesting is that the cost of caregiving varied by state and the researchers said, “the largest factor in the cost differences among states is the number of unpaid care hours”.

These results suggest that focusing on unpaid care, rather than medical spending for dementia care, has the greatest potential to bring down dementia care costs. In the report released by CMS in 2023, they found that national health spending on home healthcare was $147.8 billion which was a 10.8% increase over 2022. Spending growth was largely driven by increasing utilization of healthcare services, not price increases.

Bottom line, the researchers found that home health care represents a less expensive alternative to nursing home care. Do the benefits outweigh the risks? When we look at expenses and quality of life, can we compare being “home” to being in a congregate, homelike environment with 24/7 caregivers and activity programs focusing on the special needs of those living with dementia? I think the jury is out, but interesting information for sure! More information about the study can be found here. Stay well and stay informed!