We understand that aged care fees can be confusing. That’s why we’ve provided a fee calculator to help you navigate the potential cost of your accommodation. If you would like to speak to someone about Aged Care fees, our friendly, Client and Community Advisors would be happy to help. Call us on 1800 960 433 or click below to get in touch.
Aged care is designed to be attainable for everyone. The Australian Government may help you pay some, or all, of your fees, depending on your income and assets.
There are four different kinds of aged care fees. Your individual fees will be decided by Services Australia or Department of Veterans’ Affairs (DVA) after completing an income and asset assessment and obtaining a Fee Advice Letter.
The Accommodation Fee is the cost of your room, set by the provider. You can choose from three payment options:
These fees are a government-set contribution to the cost of your everyday living and personal care. They’re are based on your income and assets, so the amount you pay is different for everyone – and
some people may not need to pay them at all.
They include:
• the Hotelling Supplement Contribution (HSC), which supports the cost of daily living expenses such as meals, cleaning and laundry; and
• the Non-Clinical Care Contribution (NCCC), which supports the cost of personal care, such as help with bathing, dressing and mobility.
Everyone in residential aged care pays this fee. It is set by the Australian Government at 85% of the single basic Age Pension and helps cover everyday living costs such as meals, cleaning, laundry and general facility management.
The Higher Everyday Living Fee (HELF) is fee for people who choose to receive a higher standard of everyday living services in permanent or respite residential aged care.
If you are required to contribute towards your Accommodation fees, there are three payment options you can choose from:
A one-off lump sum payment. The RAD is refunded when you leave, minus a 2% annual retention fee (calculated daily) for up to five years, which is a term specified by the Australian Government. After these deductions, the remaining RAD balance is refunded to your nominated account.
Your starting DAP rate will be calculated using the Maximum Permissible Interest Rate (MPIR)
on the day you enter care. The rate is indexed twice per year, on 20 March and 20 September, in line with the Consumer Price Index (CPI).
This option is a combination of the other two types of payment. You can choose to pay part as a lump (RAD) and the remainder with daily payments (DAP).Depending on your income and assets, the government may contribute towards your accommodation costs. Only the RAD portion is refundable when you exit.
This tool helps you to explore what your daily accommodation payment (DAP) would be if you choose not to pay the full Refundable Accommodation Deposit (RAD).
Lutheran Services has been serving our community since 1935. Since then, we have continued the Lutheran tradition of care, now providing services and support to over 6,000 people every year.
