Whilst the Australian
Government helps with the cost of residential aged care it also
expects those who can afford it to contribute to the cost.
Residents in aged care can be asked to make two types of payment:
Daily Fees and Accommodation Payments.
1. Daily Fees
Daily fees contribute towards your daily living costs such as
nursing and personal care, meals, linen and laundry.
You may also be asked to pay an additional Income Tested
Fee depending on your financial situation. Centrelink
and/or the Department of Veterans Affairs bases this fee on an
income assessment and the amount you may be asked to pay will
depend on the amount of private income you have above a certain
level.
Full-rate, means-tested pensioners will not have to pay an
additional income tested fee.
2. Accommodation Payments
Accommodation payments contribute towards the cost of your
accommodation in residential care. You will only be asked to pay an
accommodation payment if your assets exceed an amount set by the
Australian Government. You may be asked to pay either an
accommodation bond or an accommodation charge.
Accommodation Bond - For residents in low care or
receiving extra services in either high or low care.
Accommodation Bonds are like an interest free loan to aged care
residences and by law must be used by the residence to improve
building standards and the quality and range of aged care services
provided. Accommodation Bonds are completely safe as they are
guaranteed by the Australian Government.
If you are required to pay a bond you will need to enter into an
agreement with your chosen residence to do so. You have 21 days
after entering an aged care home to enter into this agreement. The
amount of the bond will be agreed between you and the aged care
residence. The Government does not fix the amount of the bond,
however you cannot be charged a bond which would leave you with
less than a set level of assets.
You can pay your bond as a lump sum or in regular periodic payments
or as a combination of the two. New residents have six months to
pay an accommodation bond as a lump sum however you may be charged
interest on the unpaid lump sum amount from the time you enter the
aged care residence.
The aged care residence will deduct from your accommodation bond an
agreed monthly retention amount. This is used towards maintaining
and improving your accommodation. Retention
amounts can only be deducted for a period of five
years.
Your agreed bond and monthly retention amount will also be setout
in your Resident and Accommodation Bond Agreement.
If you change aged care residences your bond balance can be
transferred to the new residence.
The remaining bond balance will be returned when you no longer
require residential aged care.
Accommodation Charge - For residents in high
care.
High Care Residents with assets over a certain amount may be asked
to pay an Accommodation Charge. This charge is an amount paid daily
in addition to your Daily Fee and any Income Tested Fee.
The amount of Accommodation Charge to be paid must be agreed to by
you and the residence when you move in. However, the Government
sets a maximum charge aged care residences can ask you to
pay.
As with an Accommodation Bond this charge is used by aged care
facilities to maintain and improve your accommodation.
It is not compulsory for everyone entering aged care to undergo an
assets assessment. Assessments are necessary if you want to
establish your eligibility for a Government subsidy. If you choose
not to undertake an assessment you may be asked to pay an
Accommodation Bond or the maximum Accommodation Charge.
Extra Service
In addition to the above fees you may wish to select a residence
which offers extra service.
This means the home is able to provide you with a higher standard
of accommodation and services, which will cost you more. The amount
for extra service varies from home to home depending on the
services offered but is regulated by the Government. |
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