What Costs Are Involved When Going Into An Aged Care Home?

There will come a time in your life where you’ll need to make a critical decision regarding an elderly person in your care. While most family members are happy to have a parent or grandparent live with them, circumstances can quickly change. They might require around-the-clock medical care and equipment which you cannot provide, or need more social contact with people their own age. Whatever the reasons are, you want to know that you’re making the decisions based on accurate information and that it will be one which you can afford. That’s why we’ve provided some guidance around the most common costs involved when entering an aged care facility for the first time.

What do you need?

The first thing to do when the idea of entering someone into an aged facility comes up is to create a reasonably accurate estimate of what they will need in terms of care and what you can afford to pay. You can expect to pay a daily fee (which is 85% of the single person rate of the basic age pension) and, if your family has combined assets and income over a certain value, you might also need to pay a means-tested care fee. On top of that, many individual homes might include extra costs for things like daily meals, power consumption and laundry services.

The overall fee is usually calculated by the Department of Human Services and will be based on the results of your assessment.

Are there any contributions or allowances?

You’ll be pleased to know that there are some allowances for care. The Australian government can contribute some or all of the costs of the accommodation should your assessment by the Department of Human Services determine that you qualify.

Can I make any changes?

You don’t have to settle for what you’re given, and can upgrade or pay extra fees if needed for better accommodation or specialised services. Overall, you’ll need to meet with your facility of choice before you decide, so they can tell you what the best way forward is for your unique situation. It’s best to take your time with this crucial stage as you are preparing for something that is of great importance.

If you need any further advice about the cost involved in moving into an aged care facility, don’t hesitate to contact us anytime.