If I need to go into a hostel or nursing home, what
will I pay?
Fewer than one in ten people over the age of 70 live
in aged care homes (formerly hostels or nursing homes). However, if you
are assessed as needing this care, there are two types of payments you may
be asked to make. These are:
daily
care fees; and
accommodation payments.
These are contributions towards both your care and
your accommodation.
How are these payments worked out?
The fees and charges you may be asked to pay when
you enter an aged care home will be determined by your care needs, your
income and assets, the aged care home you choose, and whether you have
special circumstances (eg ex-POW).
What are daily care fees?
These fees are for your care. There are two parts to
these fees.
Each
person in care may be asked to pay a basic daily care fee; and
Depending on your income, you may also be asked to pay an additional
(income tested) fee.
How much are these daily fees?
Means tested pensioners can be asked to pay a basic
daily care fee of up to $28.62 
.
Non-pensioners can be asked to pay a basic daily care fee of up to $35.69
a day.
Daily fees are based on income, so both part
pensioners and non-pensioners may be asked to pay an additional income
tested fee. The assessment of income for income tested fees is done for
the Department of Health and Ageing by Centrelink or the Department of
Veterans' Affairs.
The maximum amount that anyone may be asked to pay
in daily fees is either $85.86 a day or the cost of their care, whichever
is lower. To be required to pay $85.86 a day, you would need to have an
annual income of over $76,272
if you are single, or $151,815
if you are married (combined).
Most people pay no extra, as they are maximum rate means tested
pensioners.
People in residential care between 1 October 1997
and 28 February 1998 cannot be asked to pay income tested fees even if
they move to another aged care home.
Income tested fees
Income tested fees contribute to resident's daily
living costs. You could be asked to pay an additional income tested fee
up to $50.17 if
you are not in receipt of a full means tested Australian pension.
If you are required to pay an additional Income
Tested Fee, this amount is determined by the amount of income you are in
receipt of and is determined by Centrelink and the Department of Health
and Ageing.
Accommodation Charges
How much are accommodation charges?
The accommodation charge amount is agreed between
the resident and the aged care home. The maximum accommodation charge is
capped at $16.63
a day. This maximum charge is calculated on a sliding scale, depending on
your assets at the time you enter care.
You cannot be asked to pay an accommodation charge
if you have assets less than $30,500
at the time you enter care.
For how long will I pay an accommodation charge?
A maximum of five years.
What if I cannot afford the accommodation bond or
charge?
If you cannot afford to pay a bond or charge, you
may not be asked to do so.
The Government ensures that care is affordable for
everyone. Service providers are required by law to care for people who
cannot afford to pay a bond or charge. A number of places are reserved for
these people based on local need. To help service providers to do this,
they receive extra Government subsidies for these residents.
When the person you care for entered high level
(nursing home) care, they may have been asked to pay an accommodation
charge. The maximum amount they can have been asked to pay depends on
their assets.
All services not covered by
the daily care fee (i.e. prescribed services) must be met by the Resident
(more details can be obtained by contacting the Manager/Director of
Nursing).
Fees and
other amounts increase in line with the age pension and the Consumer Price
Index (CPI) and change from time to time. Please contact Martindale for the latest Fees and Charges.
(Martindale will make ever endeavour to keep these figures up to date, but
please follow the link to the Department of Health & Ageing website at
the bottom of this page)
Information is current
at 20 September 2005 and is an extract from the Commonwealth Department of Health
and Ageing website at
http://www.health.gov.au/acc/finance/resfees.htm
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