Thursday, July 15, 2021

New Report on Nursing Home Industry

The Center for Medicare Advocacy   recently released a new report,  Nursing Home Industry is Heavily Taxpayer-Subsidized.

I offer you this opening paragraph as a teaser to the 6 page report:

It is well-known that Government health care programs, Medicare and Medicaid, are the primary payers for nursing home care. The two federal programs paid facilities tens of billions of dollars for providing care to residents and were the primary payer for nearly 80% of residents.  Far less known is that, in addition to receiving these direct payments, the nursing home industry also benefits from the extensive subsidies, through income-related public benefit programs – Medicaid, food assistance, housing assistance, heating assistance, cash payments, tax credits, and more – that help support its underpaid staff. The Government subsidizes the nursing home industry by billions of dollars each year by providing needs-based public benefits and earned income tax credits to its many low-wage nursing home workers. (citations omitted in this quote).

The article discusses the facilities, the employees, salaries and public benefit programs, and issues this call to action: "Change is beginning to happen in wages for low-wage workers, but until all nursing home workers’ wages are raised to (at least) living wages and until all workers receive health benefits and paid time off, the Government will continue to subsidize nursing homes by billions of dollars by providing needs-based public benefits and earned income tax credits to the nursing home industry’s low-paid workers. ..." (citations omitted in this quote).

In the interest of full disclosure, I am on the board for the Center for Medicare Advocacy.

Consumer Information, Current Affairs, Federal Statutes/Regulations, Health Care/Long Term Care, Medicaid, Medicare | Permalink


Some of the needed subsidies paid by the government are a result of clever/legal asset transfers on the part of the individual. People (patients) who could otherwise afford to pay their way are instructed on how to protect nest eggs so their heirs and beneficiaries get a nice sums.

Additionally, I tried to sell long term care insurance in a state that had a lot of federal land (something the locals didn’t really care for). The attitude I’d hear would be, “I’ve always paid my taxes; let the government pay for my care.”

I think a lot of states don’t have the resources to go after pay-back from the sale of the deceased’s primary residence and/or automobile. Too bad.

Posted by: JENNIFER YOUNG | Jul 16, 2021 11:53:18 AM

Post a comment