Aged Care Costs – our guide to aged care Fees and Charges
If you are new to aged care, the fees and payments can seem daunting. We’re here to help you make sense of it.
Firstly, it’s important to keep in mind that the Australian Government may make a contribution to your aged care costs, depending on your financial situation. Many of our residents receive some degree of Government support.
While it can be complicated, the system is designed to be flexible in line with everyone’s differing needs and financial situation. The fees you are required to pay for your care will vary based on your financial situation.
Our Fees Guide has more information about the types of fees and your options for payment.
We’re here to help – if you’d like more information, including an estimate on what fees you may be required to pay, please get in touch or call us on 1300 109 109.
You can also access the Australian Government’s Fee Estimator tool.
Care Fees
Basic daily care fee
All aged care residents pay a daily care fee. This fee is indexed against 85% of a single person rate of the basic Aged Pension. In case of a pension increase, the daily care fee will increase.
Hotelling Supplement Contribution
This is an additional contribution towards the cost of your living expenses, such as meals, cleaning and laundry. As a means-tested payment, the amount you pay will depend on your financial assessment from Services Australia. The maximum amount you can be asked to pay is $22.15/day.
Non-clinical Care Contribution
This contribution supports personal care costs such as bathing, mobility assistance and the delivery of lifestyle activities. As a means-tested payment, the amount you pay will be determined by your financial situation following an assessment by Services Australia. It is only payable by residents who fully contribute to the Hotelling Supplement Contribution. The most you can be asked to pay is $107.32/day. A lifetime cap applies.
Accommodation Cost
The accommodation payment refers to the price of the room that you chose, and will vary across our aged care communities. There are three payment options to chose from:
1
Refundable Accommodation Deposit (RAD)
2
Daily Accommodation Payment (DAP)
3
A Combination Payment
Accommodation Cost
In addition to your Care Fees, you may also be required to pay an accommodation payment.
The amount you can be asked to pay for your accommodation is based on your assets and income assessment:
Fully-funded residents – As a Fully-Funded Resident, you are not required to contribute to the cost of your accommodation. The Government will pay the full cost.
Partially-funded residents – As a Partially-Funded Resident, the Government asks you to contribute some of the cost of your accommodation payment. The exact amount you are asked to contribute will be determined by Services Australia. The Government will then fund the balance of your accommodation costs.
Self-funded residents – As a Self-funded Resident, Services Australia have assessed that you can afford to pay the full cost of your accommodation.
How you can pay
Your accommodation payment can be made in one of the three ways shown to the left – either as a lump sum Refundable Accommodation Deposit (RAD), a non-refundable Daily Accommodation Payment (a DAP), or a combination of the two. If you choose to pay a RAD, Carinity is required to retain 2% of the RAD per year. The retention amount is calculated on a pro-rata basis. The total amount that can be retained is capped at 10% of the total RAD paid.
Other Services
Optional addition fees for extras, such as wi-fi access.
Other Services
Optional extras, such as wi-fi access, phone lines or other services designed to make your everyday living more comfortable, may attract an additional fee.
The MyAgedCare Fee Estimator is a very helpful tool. Visit myagedcare.gov.au/aged-care-home-fee-estimator
