Long-Term Care Costs Surge, Straining Middle-Income New Yorkers

AARP report finds home care and assisted living costs have risen nearly 50% since 2019, outpacing income growth for older adults.

Mar. 14, 2026 at 1:52am

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A new AARP report reveals that home care and assisted living costs have surged nearly 50% nationally since 2019, erasing a decade of progress in long-term care affordability for middle-income older adults. In New York, the median annual income for adults 65+ was $59,909 in 2024, but the annual cost of long-term care services ranged from $53,040 for a home health aide to $186,698 for a private nursing home room. The report finds that older adults in New York can afford about half the amount of care that those in the most affordable states can.

Why it matters

As long-term care costs rise faster than incomes, many families in New York must deplete savings, rely on unpaid caregivers, or go without needed care. This trend puts increased pressure on the long-term care system and threatens the independence of older adults.

The details

The AARP report found that from 2019 to 2024, the annual median cost of home care services increased by close to 50%, while the median household income for someone age 65 or older grew by less than half that amount. In 2024, the median household income for someone age 65+ in New York was about $60,000, while the annual median cost of home care services exceeded $50,000. Additionally, the median household age 75 and older has about $50,000 in financial assets, enough to cover roughly one year of home care or only a few months of nursing home care.

  • In 2024, the median annual income for adults 65+ in New York was $59,909.

The players

AARP

A nonprofit, nonpartisan organization that empowers people to choose how they live as they age.

Beth Finkel

State Director of New York for AARP.

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What they’re saying

“Home care and other long-term care services have quickly become increasingly unaffordable in recent years.”

— Beth Finkel, State Director of New York

What’s next

The report calls for an additional $173.5 million in funding to fully fund aging services in New York's budget, which could help save families money, reduce pressure on the long-term care system, and help older adults remain independent.

The takeaway

This report highlights the growing affordability crisis for middle-income older adults in New York, as the costs of long-term care services like home care and assisted living have far outpaced income growth. Addressing this issue will require policy solutions to make long-term care more accessible and affordable for families.