Aged care fees can be complex. They depend on your income and assets and how you want to pay for your care エイジングケア とは

Depending on your financial situation, you may be able to get help from the government with your accommodation and care fees. This is called financial hardship assistance.
Basic daily fee

The basic daily fee is a contribution towards day-to-day living costs in an aged care facility, including meals, cleaning and laundry. It is linked to a percentage of the single person rate of the Age Pension and increases in March and September each year.

The fee is meant to cover the basic living costs of a person living in aged care, regardless of their income and assets. However, some people do not pay this fee and still receive financial help. The amount you are asked to pay for the basic daily fee depends on the level of your Home Care Package, your income assessment and what you agree with your provider.

If you are eligible for an Age Pension, the Australian Government will subsidise your basic daily fee. It is a good idea to work out your aged care fees before you choose a residential aged care home to make sure you can afford it.

Depending on the home you choose, you may also be required to pay an accommodation fee for the room you live in. This fee can vary from provider to provider, and it is also dependent on the size of the room and the amenities it offers. Some providers also charge extra / additional services fees, which are for services such as satellite TV or hairdressing.

Residents may also be asked to pay a refundable accommodation deposit (RAD) or refundable accommodation contribution (RAC). This is usually paid when they move into aged care, and will be refunded upon leaving.

Some residents also pay a means tested care fee, which is based on their income assessment and can depend on their financial circumstances. This can increase the amount of funds available in your Home Care Package budget, but you will have to check this with your provider.

There are annual and lifetime caps on income-tested and means-tested care fees, which is set by the Australian Government. If you have reached these caps, your care provider cannot ask you to pay any more income-tested or means-tested care fees.

If you are struggling to meet your aged care fees, it is a good idea to seek independent financial advice from a financial services expert. They can show you how to manage your aged care payments and how different payment methods may affect your pension and aged care fees if you ever need to move into an aged care home. They can also help you find aged care homes that are best suited to your needs.
Means tested care fee

The means tested care fee is an extra payment that residents in residential aged care receive as a contribution towards the personal and clinical care services they are entitled to. It is based on an individual’s means test and may fluctuate over the duration of your stay in care.

For Centrelink pension recipients, it is calculated as the maximum pension payments (single or member of a couple) less the minimum pension and energy supplement. It is also taken into account if you have income from capital, like cash savings and investments, land or property, and business assets.

Jane and Roger, who are part-pensioners, have recently received an approval letter to move into a subsidised aged care home. They are now looking for a suitable aged care home and have started to research the fees they will need to pay.

If you are moving into an aged care home and want to know how much money you can get from the Government, it is best to do an income and asset assessment. This will let the Department of Human Services or the Department of Veterans’ Affairs know whether you are eligible for assistance.

Your accommodation cost is the amount you will pay for your room at an aged care home, including a daily accommodation payment (DAP) or refundable accommodation deposit (RAD). This amount will be set by Services Australia after completing your means assessment and after taking into account any Government subsidies and supplements.

Once you are approved for a room in an aged care home, you and your provider will negotiate a room price together. This will be based on your assets and income as well as your means assessment.

During this process, it is important to note that your aged care fees can change due to the annual indexation of rates and thresholds as well as changes to government subsidies and supplements. It is also important to check that you are not paying more than the maximum fees allowed by law.

If you are concerned that you will be unable to afford your aged care costs, contact Financial Care Services to arrange an appointment with our expert aged care cost advisors. We can provide confidential, independent advice on Centrelink, DVA, lifestyle and granny flat issues so you can make informed financial decisions.
Personal care and nursing fee

Taking on the role of a personal care aide is an enormous act of compassion. But it doesn't come cheap. From housing and utilities to food and fuel, these costs can add up to a fortune. Thankfully, the good news is that you can get assistance with these expenses thanks to the Commonwealth government. Whether you need assistance with your home or hospital visits, a visit to Services Australia's Financial Information Service can help you make the right choices.

Choosing the right aged care home can be a daunting task, but don't worry - we've got you covered. Here's a list of the most important things to consider when deciding on the best aged care home for your loved one. From there, it's a simple case of selecting the most suitable accommodation option for your budget and requirements. You can also enlist the help of an advisor to point you in the right direction if you're unsure what to do next.
Accommodation payment

The accommodation payment covers the price of a room in an aged care home and is a Government subsidy for some residents. The Department of Human Services works out if you need to pay this fee based on your income and assets and if so they will provide you with a means assessment letter.

The room price varies according to the age of the resident and the type of accommodation they need. You will need to agree to the room price before entering care with the aged care provider.

If you are not eligible for Australian Government assistance with your accommodation costs, you must pay the agreed room price by either a refundable accommodation deposit (RAD) or a daily accommodation payment (DAP). The RAD is a lump sum that is fully refundable when you leave and the DAP is ongoing, non-refundable rental-style payments.

You have 28 days from the day you enter aged care to decide on how you want to pay your accommodation fees - as a lump sum (RAD) or as a daily payment (DAP). If you choose to pay a RAD, you have 6 months to pay it in full.

Your daily payment will be calculated by multiplying the RAD of your room by the Maximum Permissible Interest Rate (MPIR) set by the Department of Health and Aged Care. The MPIR is a government-set rate and changes on a quarterly basis.

In order to make your daily accommodation payments smaller, you can ask your aged care provider to draw a reduced DAP amount from your paid RAD. This will reduce the amount of the RAD you pay and increase the daily accommodation payment you receive over time.

Alternatively, you can also negotiate with the aged care provider to pay the RAD and then choose to make daily accommodation payments on the remaining portion. This will lower the overall cost of your accommodation and may allow you to afford a higher room or group of rooms.

You must complete a combined asset and income assessment form (SA457) before you enter permanent aged care to make sure you are getting the right accommodation payment and means tested care fee. You must notify Centrelink or the Department of Veteran Affairs of any significant changes to your assets and income before completing the assessment so that you don’t pay an excess fee or contribution.