Wednesday, May. 21, 2025
Fact brief: Are over half of nursing home residents supported by Medicaid?
Medicaid pays for 62% of long-term care residents in nursing homes.
Medicaid is a public health insurance program for Americans with limited financial means.
It covers nursing home care only for eligible beneficiaries and when no other payment options are available.
Medicaid covers nursing home costs as long as the level of care is necessary. Some services include room and board, nursing care, personal hygiene supplies, meals, and prescription and over-the-counter medications.
If eligibility requirements are met, Medicaid will pay 100% of nursing home costs.
In 2024, the median private nursing home room cost over $100,000 a year.
Even for those not in nursing homes, Medicaid is essential for long-term care. In 2021, Medicaid and Medicare accounted for nearly 65% of long-term care services nationwide.
Total U.S. Medicaid spending was $860 billion in fiscal year 2023. Texas spent over $57 billion.
This fact brief is responsive to conversations such as this one.
Sources
- Protect Our Care Fact Sheet: Medicaid is Essential for Seniors & Older Adults’ Coverage
- Medicare.gov How can I pay for nursing home care?
- National Council on Aging Does Medicaid Pay for Nursing Homes? A Comprehensive Guide
- Congress.gov Who Pays for Long-Term Services and Supports?
- KFF Total Medicaid Spending
About fact briefs
Fact briefs are bite-sized, well-sourced explanations that offer clear "yes" or "no" answers to questions, confusions, and unsupported claims circulating online. They rely on publicly available data and documents, often from the original source. Fact briefs are written and published by Gigafact contributor publications.
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