What is an entrance fee?

What is an entrance fee?

February 22, 2017

One of the most popular methods of financing independent retirement living is with a refundable entrance fee. (There is no entrance fee for assisted living.) Entrance fees are based on the size of the apartment and, to some extent, its location. There is no second person entrance fee at Glenmeadow. You can choose from two types of entrance fees: the 90% Refundable Plan or the Declining Refund Plan.

90% Refundable Plan
The amount you pay is reduced by one percent each month for the first ten months of residency. If you leave Glenmeadow, transfer to assisted living, or pass away after the first ten months of residency, you (or your estate) will receive 90 percent of your entrance fee back. If you leave during the first ten months, you will receive an amount equal to the total paid, less one percent for each month of occupancy. For example, if you leave after five months, you will receive 95 percent of your entrance fee back.

Declining Refund Plan
The amount you pay is reduced by one percent each month of residency for 100 months. For example, if you leave after five months, you will receive 95 percent of your entrance fee back. If you transfer to assisted living after 50 months of residency, you will receive 50 percent of the entrance fee back. If you pass away after 100 months of residency, there will be no refund to your estate.

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