The ABCs of Aged Care Fees

Aged care fees may seem expensive at face value. From expensive, it becomes just downright convoluted and confusing as you go down the list of aged care residences North Brisbane fees (or for anywhere in Australia for that matter). It becomes like so for good reason – there are many components that are factored in the fees.

Another thing that makes it confusing is the inclusion of variable amounts. This means each computation is highly customised and personal, something you might find inappropriate to share in general. And we all know sharing pricing information is one of the best and easiest ways to get a benchmark or average.

So what exactly goes into your Arcare Springwood aged care fees? Let us break them down in the simplest terms possible.

Basic Daily Fee. The basic daily fee covers the day-to-day living expenses. It is 85% of the pension and must not exceed $50.16 a day. So if 85% of your or your parent’s pension exceeds $50.16 a day, the cap applies to you. Everyone has to pay this fee.

Means-Tested Care Fee. The means-tested care fee depends on one’s assets and income. The rationale behind it is those who can afford to pay more should pay more. Individuals worth at least $165,271 in assets or with $26,660 in annual income are required to pay the means-tested care fee. Here is a bit of relief – there are annual and lifetime caps. Once you reach these caps, you stop paying for this fee. There are numerous online calculators and figures that provide very good estimates but your best bet is to get the exact amount from the Department of Human Services. Visit us at Arcare Glenhaven

Extra/Additional/Special Services Fee. Unlike the first 2 fees directly mandated by the government, extra services are where the likes of Arcare North Brisbane aged care set themselves apart from other aged care in Springwood. These are services offered on top of what one would expect from an aged care facility, such as hairdressing, additional beer or wine with meals, and special therapies. This is an optional fee.

Accommodation Fee. Basically, there are 2 kinds of accommodation fees: the Refundable Accommodation Deposit (RAD) and Daily Accommodation Payment (DAP). The RAD is a lump-sum payment and the DAP gives you the option to pay on a daily basis.

It is a lot like taking out a mortgage: they assess how much you can pay and they give you options on how to pay. Like a mortgage, you can make a partial lump-sum payment and settle the rest in instalments.

Be mindful of the rules, caps and interest rates of this fee. Like the daily fee and means-tested care fee, the amounts and payment schedule all hinge on the individual’s assessment.

Navigating through fees of aged care residences North Brisbane facilities is not an easy task. Pay close attention to the government rules and caps, and when possible, seek professional advice before signing on the dotted line.

Begin your search for the right residential aged care residences North Brisbane has today by checking out the properties here at https://arcare.com.au/qld-aged-care/springwood-aged-care/. After that, start crunching those numbers to get your financial affairs in order for a smoother transition to life in your golden years.

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