Final answer:
Medicare does not cover the full costs of living in a long-term care facility including custodial care, and individuals are responsible for deductibles and copayments. The growing elderly population increases the challenge for funding Social Security and Medicare through payroll taxes.
Step-by-step explanation:
Medicare Coverage and Payment Options for Facilities
An elderly couple trying to understand how they will pay to live in a facility should be aware that Medicare will not cover all of the costs associated with long-term care in a facility. Medicare Part A provides some coverage for hospitalization but is generally not designed to pay the full costs of living in a long-term care facility. People are also responsible for deductibles and copayments. The long-term budget outlook for Social Security and Medicare is challenging, with the increasing number of elderly Americans and the growing expenses of healthcare overwhelming current resources from payroll taxes. As for what Medicare does not cover, it is important to note that it does not pay for custodial care, which is non-medical assistance with daily activities like bathing, dressing, and eating, typically needed by aging individuals. To cover these costs, the elderly may need to explore options such as long-term care insurance, personal savings, or Medicaid for those who meet eligibility requirements.