A Continuing Care Retirement Community (CCRC) or Life Plan Community entrance fee is an initial, upfront payment that residents must make when they move into the community. This fee secures the residents’ place in the community and typically covers the cost of their living unit, access to various amenities, and included healthcare services. The entrance fee varies widely depending on the location, size of the living unit, and the services included.

There are different types of entrance fee structures:

1. Refundable Entrance Fees: A portion of the entrance fee may be refundable to the resident or their estate if they move out or pass away.
2. Non-Refundable Entrance Fees: These fees are not returned to the resident and are fully paid off over a certain period.
3. Partially Refundable Entrance Fees: A portion of the entrance fee may be refunded, depending on the terms of the contract.

The entrance fee is separate from the monthly fee residents pay for ongoing services and care.

The monthly fee pays for a variety of services and amenities, including but not limited to:

• Utilities such as water, standard cable television, and wireless internet
• Taxes like property taxes
• Maintenance including repairs, replacement of equipment, exterior cleaning, groundskeeping and lawn service, and snow removal.
• Personal Services including access to fitness centers and swimming pools with classes, chef-prepared meals, a busy social calendar, opportunities for hobbies and games, 24-hours security, and much more
• Lima Estates also features a New Orleans style café/bistro, recently renovated Clubhouse and social areas, and clubs suitable for many interests and hobbies.

Running out of money while living in a Continuing Care Retirement Community (CCRC) can be complex. However, there are options to address this issue, including: 

• Downsizing to a smaller unit on campus 
• Benevolent funds or financial assistance programs from the community  
• Contract provisions  
• Medicaid 

According to Yahoo Finance, you need about $817,000 in savings to retire comfortably in Pennsylvania.

The cost of living in a retirement community in Pennsylvania varies based on the type of care and the specific community. According to the National Investment Center for Seniors Housing & Care, the average monthly fee for a retirement community is $3,960. Pennsylvania generally falls in the middle range for average living costs, though prices can vary widely depending on the level of luxury, amenities, and built-in health services offered.

Pennsylvania is very tax-friendly towards retirees. Retirement income is not taxable, Social Security income is not taxable, it has the lowest flat tax rate in the country and has a property tax/rent rebate program.

In a Continuing Care Retirement Community (CCRC), medical expenses are built into your contract, eliminating the need to determine their tax deductibility. And residents who itemize deductions can deduct a substantial portion of CCRC fees as a prepaid medical expense, encompassing both the one-time entrance fee and the ongoing monthly fees.