What is a Not-For-Profit Senior Living Community
Choosing a senior living community requires weighing many options. An appealing location, attractive services and amenities, and the ability to choose a floor plan that meets your needs are all important factors. So is knowing how you’ll access health care services if you have medical needs in the future. One question you might not know to ask is whether the senior living community you’re considering operates as a for-profit or not-for-profit organization.
Any profits generated by not-for-profit senior living communities get reinvested into the community for the benefit of the residents. This means that although your monthly fees are used in the short term to offset the expenses associated with delivering the services and amenities the community offers now, you may also be contributing to future improvements within the community for your own and other seniors’ benefit.
Why does profit status matter?
The most obvious difference between a not-for-profit and for-profit senior living community is whom the community ultimately serves. A not-for-profit senior living community like Casa de las Campanas exists for the benefit of its residents — not the shareholders who stand to gain from a for-profit community.
What are the benefits of a not-for-profit senior community?
Instead of making choices based solely on profits, the management team for a not-for-profit senior living community works to ensure surplus revenues are reinvested into the community. This focus on growth and improvement ensures a community’s strength, and many residents appreciate knowing their money is staying within the community. On average, not-for-profits provide more medical care as noted in their hours per patient a day with higher staffing patterns as compared to their for-profit peers.
As a 501c3, a not-for-profit community is exempt from state property taxes and corporate income taxes, which lets the community pass those savings back to the residents. When it comes to tax advantages, residents of not-for-profit communities may be able to benefit directly as well, as they are typically able to claim a higher medical expense tax deduction.
Another potential advantage of a not-for-profit community is the overall culture and mindset of the community. With a not-for-profit organization, the community’s defined mission, vision and values — not financial gains — govern each management and financial decision. Because the community is driven by a mission to serve its residents, you can expect to see energy poured into programs, activities, and opportunities for residents’ enjoyment and enrichment.
Most not-for-profit communities also have an affiliated foundation that promotes growth and community betterment. One example is The Casa Foundation, which has funded nearly $8 million in projects and services for Casa de las Campanas residents. Foundation assets also provide permanent support for programs like employee scholarships, music programs, and resident activities. In addition, if your assets become depleted through no fault of your own, you may be eligible for financial assistance through the foundation’s resident hardship assistance program.
Are there not-for-profit communities in San Diego County?
Casa de las Campanas, now celebrating its 33rd anniversary, is the only not-for-profit Type A Life Plan Community in San Diego County. As a Life Plan Community, Casa offers independent living residences, along with multiple levels of care services, so you can remain in the community. If your health needs change, as a Type A Community, there is virtually no increase to monthly fees if and when you must access this care.
The community is managed by a Board of Directors consisting of local businesspeople who serve as volunteers, contributing their time and expertise for the benefit of the residents. Voting and non-voting resident board members also have a voice in the community’s oversight. Because the Board Members have no financial stake, you can be confident they’re committed to honoring Casa’s mission and vision as they make decisions for the community. To manage Casa’s day-to-day operations, the community retains an Executive Director and Administrator as part of its partnership with Life Care Services®.
Interested in learning more about not-for-profit senior living?
We invite you to talk with us one-on-one so we can understand your needs and answer your questions about how Casa de las Campanas can help you achieve the retirement lifestyle you envision.
