Aged care payment optionsWritten on the 7 September 2021 by Arrow ![]()
Aged care payment optionsWhen it comes time to investigate residential aged care for yourself, your partner, parent or relative, the search for a facility and how to pay for it can seem daunting. The system is complex, and decisions are often made in the midst of a health crisis. Accommodation chargesThe first thing to be aware of when researching your residential aged care options is that there are separate costs for the accommodation and the care provided by the facility. Daily feesAs well as an accommodation cost there are daily resident fees that cover living and care costs. There is a basic daily fee which everyone pays and is set at 85 per cent of the basic single Age Pension. The current rate is $52.71 a day and covers the essentials such as food, laundry, utilities and basic care. How means testing worksA means-tested amount above a certain threshold is used to determine whether you pay the quoted RAD and how much the government will contribute towards the means-tested care fee. Payment strategiesThe fees you may pay for residential care and how you pay them requires careful consideration. For example, selling assets such as the former home to pay for your residential care can affect your aged care fees and Age Pension entitlements. i All costs quoted in this article are available on https://www.myagedcare.gov.au/aged-care-home-costs-and-fees ![]() |