A nursing home is an institution for persons unable to care for themselves. Federal law requires nursing homes to develop care plans for all residents. To provide quality care, you need to hire enough efficient staff to care for residents regularly without failing. This requires considering annual salaries for positions like Healthcare Assistant, Registered Nurse, etc.
The Role of Nursing Homes in Healthcare
As people live longer with chronic disease and disability, specialized facilities will remain necessary. Cost-effective home healthcare has limits, especially for high-need patients. With economies of scale, nursing homes can provide structured staff and care.
Starting and Managing a Nursing Home
Starting a nursing home requires proper planning and execution. A critical first step is completing your thorough business plan. This helps obtain financing to launch.
Most US nursing homes – about 70% – are for-profit businesses. With proper work, these can be quite profitable. Low staffing helps profitability but harms residents. Studies show for-profit nursing homes have far higher COVID infection and death rates.
Cost Comparison
The median monthly home health aide cost is $4,576, versus $7,756-$8,821 for a nursing home room. But 24/7 high-level care is extremely expensive at home. Total nursing home costs often exceed $200,000.