Fees & Charges

Q. What do I have to pay for when I go into aged care?

A resident’s fees and charges can be made up of 3 components:

1. Accommodation Payment +
2. Basic Daily Care Fee +
3. Means-tested Care Contribution (not everyone needs to pay this)

Accommodation Payments – RAD/DAPs

From 1 July 2014, residents have the choice to pay for their accommodation by lump sum known as a Refundable Accommodation Deposit (RAD) or a daily fee known as the Daily Accommodation Payment (Direct Debit DAP) or a combination of the RAD and DAP.

In some instances, residents can also elect to deduct their daily accommodation payments from their refundable accommodation deposits.
RADs are fully secured by the government for approved aged care homes. These are the homes that have been assessed by the government for their ability to provide pre-set standards of care and compliance.

Daily Care Fee

The Daily Care Fee or Contribution to Care Fee is a fee which all residents pay, no matter what their financial position, and equates to 85% of the full pension.  This payment is for the provision of services related to care of the resident and will be means tested from 1 July. For people who cannot afford the full cost of care, government funding is paid to the aged care provider to support you so that no one is disadvantaged. These fees are usually aligned as a percentage of the pension.

Means-Tested Care Contribution

This amount is only applicable where a resident is deemed able to contribute further towards the cost of their care.

How do I find out more information?

The Commonwealth Government of Australia regulates the fees payable by a resident in an aged care facility. More information can be obtained by contacting the Dept of Social Service and/or the My Aged Care Information Portal Line on 1800 200 422.

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