The advice on aged care fees Warrnambool residents need

Posted on 06/11/2015 by Warren Easley in Audit & Advisory

Whether considering options for yourself or deciding how best to help someone close to you, aged care is a complex area and requires careful thought.

Warrnambool is a large regional centre and has a variety of aged care facilities, including Lyndoch Living, Mercy Place,Opal Gillin Park & Opal Warrnambool. Choosing a facility to suit your family member and budget isn’t necessarily easy and can become overwhelming and stressful. When it comes time to move a loved one into an aged care facility, you need the right advice on aged care fees to make it happen and take the stress out of making the right choice.

Australia’s Aged Care System has changed significantly with the introduction of reforms on 1st July 2014, so to make sure you’re getting the most up-to-date advice; it’s even more important that you talk to an expert.

Summary of changes:
The distinction between low level care and high level care has been removed:

  • There is now only one type of approval for residential aged care.
  • All Residents are now subject to the same structure for aged care fees.

Accommodation payments have replaced the accommodation bond and accommodation charge. Accommodation payments:

  • Are determined by your assessable income.
  • Can be paid as a refundable accommodation deposit (RAD), a daily accommodation payment (DAP) or a combination of both.
  • You have 28 days, after you enter an aged care facility, to decide how you will pay for accommodation.
  • Retention amounts are no longer deducted from accommodation payments.
  • Your former home will only be assessed as an asset (up to a cap) if it’s not being lived in by a protected person (i.e your husband or wife).

Aged Care Fees are now means-tested rather than income-tested. The means-tested fee:

  • Is determined by the combination of your assessable income and assets.
  • Is subject to annual and lifetime caps.
  • Includes any refundable accommodation deposit (RAD) as an asset in its calculation.
  • Your former home will only be assessed as an asset (up to a cap) if it’s not being lived in by a protected person (i.e your husband or wife).

When considering your residential care options, some of the questions it is important to ask are:

  • What up front costs need to be paid?
  • How much will ongoing care cost?
  • Do I keep the family Home or sell it?
  • How do I maximize my social security benefits?
  • Will I have something to leave the Family?

There is a lot to consider when thinking about residential care and its associated aged care fees. Expert advice on your options in Warrnambool will help makes things clearer for you.

Early planning provides the most opportunities to make the move into aged care as easy as possible, both emotionally and financially.