Healthcare costs out of reach for many aging Americans

For many aging Americans, the cost of long-term healthcare has become an insurmountable barrier. Retired pharmacist Ken Sternfeld, 71, and his wife Ronnie, both medically challenged, faced an arduous battle to get their in-home care covered by insurance, eventually accessing Medicaid after depleting their savings.

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About a year-and-a-half of fighting, of filling out forms, waiting for answers, getting denied, having appeals, doing a fair hearing. They wait until you give up. They want you to give up. I believe that.

"They wait until you give up. They want you to give up. I believe that," Ken Sternfeld told CBS News, describing the exhausting process of appeals and denials. Even with Medicaid, their Social Security income barely covers rent, leaving them worried about other expenses.

A recent AARP Public Policy Institute study highlights the severity of the issue, revealing that long-term care costs surged nearly 50% between 2019 and 2024. This dramatic increase outpaces income growth, forcing middle-class families into difficult choices: forgo care or drain their savings.

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It's extremely frustrating because we worked hard.

Family caregivers are shouldering an immense burden, providing nearly 50 billion hours of unpaid labor annually, valued at over $1 trillion. "We have caregivers who are working full-time jobs and also full time taking care of their loved one," said AARP President Dr. Myechia Minter-Jordan. "And in many instances, this is unsustainable, and it is a wake-up call for our country."

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So they're being pushed into sort of two pathways, one of which is to forego care. The other is to try to sort of parse together healthcare for themselves, which then often depletes most of their savings.

With nearly 70% of Americans requiring some form of long-term care after age 65, the AARP has been lobbying for a family caregiver tax credit for a decade. However, the measure remains stalled, leaving individuals like the Sternfelds to face a dire reality with little support.

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We have caregivers who are working full-time jobs and also full time taking care of their loved one. And in many instances, this is unsustainable, and it is a wake-up call for our country.