- A new report underscores rising costs for nursing home care across the US
- The median cost for a Michigan nursing home is nearly twice the median household income in Michigan
- Those rising costs fuel calls for alternatives to traditional nursing home care
Michiganders paid more than ever for nursing home care last year — and a lot more than residents in most other states, according to new data released Monday.
While the median cost for a private room in a nursing home across the country last year was $129,575, the median cost was $143,628 in Michigan, according to the Cost of Care Survey conducted by CareScout, which for years has tracked cost trends in long-term care.
That’s nearly twice as much as the median household income in Michigan.
It’s also more than 11% more than the median cost for the US.
The gaps in cost between Michigan and the US was even wider in shared, or semi-private, rooms.
Related:
- ‘Green Houses’ offer cozier alternative to Michigan nursing homes
- Bridge Lunch Break recap: Experts call for tougher nursing home regulations
- Abuse, neglect common in Michigan nursing homes — and no one is coming to help
The median cost for nursing homes across the US for a semi-private, or shared, room was $114,975 in 2025; in Michigan, the median cost is $135,050 for Michiganders — a more than 17% gap.
It’s a problem of supply and demand — both among consumers and among staffing backbone of nursing home care, said Samir Shah, CEO of CareScout.
Michigan is aging faster than most states — 1.9 million residents, or nearly 1 in 5, are already 65 or older, putting more demand on the state’s limited long-term care infrastructure.
At the same time, high turnover and more scrutiny of nursing homes during COVID has forced higher pay for staffing.
The result?
“You have a bit of a trifecta happening where all of these drivers are working in opposite directions,” Shah told Bridge Michigan. “You need more care. You have less care. And the care that is there is asking for more money.”
The report highlights a variety of care costs across the state — from about $100,000 a year for a private room in the Jackson area to more than $160,000 for a private room in Ann Arbor and Lansing areas.
And dollar figures don’t equate to quality, Shah noted.
Michigan’s nursing home industry includes five-star facilities, quality care and exceptional staff. But a Bridge investigation published in January also highlighted understaffing, neglect and abuse at many homes. In some cases, residents died as a result.
“Most families don’t know what questions to ask. They don’t know to ask ‘Do you have specialists that come in to check up on Mom or Dad, or do they have to travel out?’ ‘Is there a bus service that takes them to a Trader Joe’s or a Whole Foods just to sort of walk around?’ ‘Are there exercise classes?’” Shah said.
Read more about choosing a nursing home: Choosing a nursing home can be tough; these tips can help
Costing everybody
The annual Cost of Care Survey dates to 2004. It examines costs for services, including non-medical caregiving, such as home health aids, as well as private duty nursing, adult day health care services, assisted living communities, and nursing homes.
Its 2025 report is based on more than 25,000 data points across the US.
Many of the costs are passed onto taxpayers.
Notably, Michigan’s nursing homes receive an estimated $3 billion each year in Medicaid, according to a special report released last year to outline possible Medicaid cuts under the Big, Beautiful Bill. Medicaid covers costs for lower-income Michiganders, but also for once-wealthier residents whose assets have run out.
The high cost of care, compounded with quality concerns, has some long-term care advocates calling for alternatives, including supports that help people age at home, Green House homes or the Programs of All Inclusive Care for the Elderly.
Nursing homes are necessary for many older residents, but as Gen X’ers age into long-term care, many will demand alternatives to aging facilities and care that demands big price tags, said Stephanie Winslow, executive director of the PACE Association of Michigan.
“This is a different generation. They don’t accept the status quo. They’re looking for better alternatives,” she said.
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