What’s the difference between a non-profit and for-profit senior living community?
Every senior living community has either a non-profit or a for-profit owner — and knowing the difference can affect your choice.
The non-profit senior living community
A volunteer board of trustees guides the community to respond to and meet the needs of the region’s older adults. Board members are from the area served by the community. Membership may also include a community staff member and/or a resident.
Trustees take no profit from the community and pursue the community’s success because revenue above expenses will be reinvested in the community’s mission, programs, services, and capital improvements.
The non-profit senior living community often guarantees continued residency for residents whose financial resources become depleted, through no fault of their own: They will not be removed from the community.
The non-profit senior living community is sometimes affiliated with a known religious organization or fraternal group.
The for-profit senior living community
A private owner and shareholders may manage the community themselves. Other owners and shareholders will be largely invisible to the community, relying on a local management team as the face of the organization.
Shareholders expect profits generated from community fees to provide a return on their investments. Their objective is the profitability of an appealing and successful community for the area’s older adults.
Is one better than the other?
Non-profit and for-profit senior living communities are alike in providing residences, programs, and services designed for older adults, and both types of communities aim to serve successfully. Ordinarily, if a community meets residents’ needs, the community’s ownership isn’t a concern.
When you’re searching for a senior living community, you should consider all communities within the region where you want to live. You’ll want to discover the reputation, performance, and reliability of each community over time and compare their programs, amenities, location, culture, quality of healthcare, professionalism of staff — and their financial viability.
For Google reviews posted by residents, families, and staff, search for a community by name on Google.com.
You can also visit Medicare.gov to learn how a community has been rated for health inspections, staffing, and quality measures.
So, what’s the difference?
Non-profit and for-profit senior living communities are both successful models. Knowing the difference can help you decide on the community that’s right for you or your loved one.