Who Pays for Memory Care and Nursing Homes in NYC? Medicare, Medicaid & More

The money question decides more NYC care placements than any star rating. Here is who pays for what in New York, in plain language.

The one-line answer: Medicare pays for short-term rehab, not long-term dementia care. Medicaid pays for long-term nursing home care. Assisted living and memory care are mostly paid for privately, by insurance, or by VA benefits.

Payer Nursing home Assisted living Memory care (SNALR)
Medicare (Original and Advantage) Up to 100 days of short-term skilled care after a 3-day inpatient stay No No (except doctor, hospice and drug costs)
New York Medicaid Yes, long term, if eligible Services only, through the Assisted Living Program Rarely. Most SNALR units are private pay
Long-term care insurance Depends on the policy Depends on the policy Often, if dementia is a benefit trigger
VA Aid and Attendance Can be applied to the cost Can be applied to the cost Can be applied to the cost
Private pay / savings Yes Yes Yes

Does Medicare pay for memory care in New York City?

Not for long-term memory care. Medicare does not pay for custodial care or for room and board in assisted living or memory care. It can pay for up to 100 days of skilled nursing facility care per benefit period after a qualifying inpatient hospital stay of at least three days. Days 1-20 cost nothing, and days 21-100 carry a daily coinsurance. It also pays for doctor visits, hospice, and a cognitive assessment and care-planning visit.

Does Medicaid pay for nursing homes in NYC?

Yes. New York Medicaid pays for long-term nursing home care for residents who meet its income and asset rules, and most NYC nursing homes accept it. For nursing home Medicaid, New York looks back 60 months at transfers of assets, so plan early with an elder-law attorney.

Does Medicaid pay for assisted living or memory care in New York?

Only partly. Medicaid does not pay room and board in assisted living. Through the Assisted Living Program (ALP), it pays for services at participating adult homes and enriched housing programs. Most dedicated memory care (SNALR) units are private pay.

Does Medicare Advantage cover memory care?

No. Medicare Advantage plans follow the same rule as Original Medicare and do not pay for long-term custodial care. Some plans add limited extra benefits, so check the plan’s Evidence of Coverage.

Will long-term care insurance pay for memory care?

Often, yes, if the policy covers the setting. Tax-qualified policies usually count a severe cognitive impairment, such as Alzheimer’s disease, as a benefit trigger. Ask the insurer in writing whether it covers a SNALR or a nursing home, and what elimination period applies.

Can veterans get help paying for memory care?

Yes. Wartime veterans and surviving spouses who meet income and need rules may qualify for the VA pension with Aid and Attendance. That pension can go toward assisted living or a nursing home. The VA also runs nursing home care for eligible veterans.

Where to get free help in NYC

  • NYC Aging (Department for the Aging), through 311: caregiver support and case management.
  • HIICAP, New York’s free Medicare counselling program.
  • NYC Human Resources Administration (HRA): Medicaid applications for NYC residents.
  • Alzheimer’s Association 24/7 Helpline: 800-272-3900.

Read more: Does Medicare pay for memory care units in nursing homes? · How to navigate long-term care insurance for dementia · Does Medicare cover assisted living?

Official sources: Medicare.gov: skilled nursing facility care · NYS Medicaid · VA Aid and Attendance.

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Educational information only. It is not medical advice and does not replace care from a qualified clinician.