Fees & Charges Explained

  • The Commonwealth determines the rates of fees and charges payable in residential aged care, except the Accommodation Price which is set by the owner/operator of the home.

Types of Fees & Charges

  • Basic Daily Care Fee

    • this fee is payable by ALL residents regardless of their financial circumstances

    • the rate is set by the Commonwealth twice every year on 20th March and 20th September based on movements in the aged pension

    • the fee amounts to 85% of the aged pension

    • as at 20th September 2018 the fee is set at $50.66 per day.

  • Means Tested Care Fee

    • calculated by the Commonwealth on the basis of the Income & Asset Assessment

    • the rate is reviewed quarterly and set as a 'daily' fee

    • only payable by residents with assets and incomes above certain 'thresholds' set by the Commonwealth - refer 'How are Income & Assets calculated'

    • annual and lifetime caps for payment of Means Tested Care Fees have been determined by the Department; once these caps are reached no further fees are payable

    • residents who have been assessed as 'low means' [formerly fully supported] do not pay a Means Tested Care Fee - refer below 'Income & Asset Assessment' & 'Low Means'.

  • Daily Accommodation Contribution [RAC]

    • calculated by the Commonwealth on the basis of the Income & Asset Assessment

    • the rate is reviewed quarterly and set as a 'daily' charge

    • only payable by residents with incomes and assets just above the 'thresholds' set by the Commonwealth - refer 'How are Income & Assets calculated'

    • viewed as a 'contribution' towards the cost of accommodation.

  • Daily Accommodation Payment [DAP]

    • based on the agreed Accommodation Price [Refundable Accommodation Deposit - RAD] for a room/bed

    • calculated as a percentage of the Accommodation Price divided by 365 days [days in a year]

    • the percentage rate is set by the Commonwealth on a quarterly basis

    • the rate is 5.96% from 20/09/18

    • only payable by residents who [a] must pay a RAD due to the level of their income & assets, and [b] either do not want to pay the full RAD, pay only a part RAD, or pay no RAD - refer below 'RAD / DAP', or click on 'What does it cost?'

  • Refundable Accommodation Deposit [RAD]

    • the accommodation price set by the owner/operator of the residential aged care home for a room/bed

    • payable by residents subject to the level of their income & assets

    • can be paid either in full, part, or - as far as our home is concerned - not at all

    • we offer the option to only pay a Daily Accommodation Payment [DAP] instead of a RAD

    • if the RAD is paid in full - no further accommodation cost are payable

    • if no RAD, or a part RAD is paid, a DAP is payable calculated as a percentage of the unpaid RAD, or remaining balance of the RAD

    • The DAP is considered a 'rental payment' for accommodation, and reimbursement for a RAD or partial RAD not having been paid to the home

    • the DAP is non refundable and does not reduce the RAD amount not paid

    • residents/families can change their mind at any time if they later want to pay a full or part RAD; the DAP charge will stop when the part/full RAD has been paid.

    • click on 'What does it cost?' for more details.