Choosing the daily benefit amount for long‑term care insurance can feel like a shot in the dark. It doesn’t have to be. Use this simple plan to pick a number that fits real life, not guesswork.

1. Start With Local Prices

Look up current costs for home health aides, assisted living, and nursing homes in your area. Call a few care agencies and one facility, or check a state guide. Write down a low, mid, and high number. This anchors your choice to what care actually costs where you live.

2. Choose Your Likely Care Setting

Do you want care at home for as long as possible, or do you prefer a facility if needs grow? Home care is usually cheaper per day, but hours add up. If a spouse still lives at home, home care may be the goal. Match the daily amount to the setting you expect first.

3. Count Your Helpers

Family help can stretch dollars. Be honest about what loved ones can do and for how long. If support is strong, you may not need to cover 100% of costs. Aim to cover 60–80% and let savings fill the gap.

4. Fit It With The Waiting Period

Your “elimination period” is the number of days you pay before benefits start. A longer wait can lower the price of the policy, but only works if you have cash to bridge that time. Choose a daily amount that you can sustain through the wait.

5. Add Inflation Protection

Care costs rise. Pick a growth option (for example, 3% compound) so today’s daily amount still means something in 10–20 years.

6. Do the Pocket Check

Line up your income, savings, and the premium. If a higher daily amount makes the policy feel tight, lower it a notch and keep the inflation rider. A benefit you can keep is better than one you may drop.

7. Run A Quick Test

Multiply your daily amount by 30. Does that monthly number cover most of your expected cost? If yes, you’re in range.

8. Balance Daily Amount And Total Pool

Your total pool (benefit period) matters too. A slightly lower daily amount with a longer pool can work better than a high daily amount that ends too soon. If you’re married, ask about shared care so either spouse can tap unused benefits.

The “right” daily benefit is not magic, it’s a match between local prices, your care plan, and your budget. Long‑term care insurance is there to protect choices: staying at home longer, easing pressure on family, and guarding savings. Pick a number you can live with, and your future self will thank you.