Means-Tested Care Fee: What You Need to Know
The means-tested care fee is an amount some people may need to pay when receiving government-subsidized residential aged care. This fee is based on a person's income and assets and helps cover the cost of their care.
Who Needs to Pay This Fee?
Not everyone in aged care is required to pay a means-tested care fee. The amount is calculated individually based on a financial assessment. Those with higher income and assets may be required to contribute more, while those with lower financial resources may pay little or nothing.
How is the Fee Calculated?
The government looks at a person's income, savings, investments, and property (excluding the family home in some cases) to determine how much they should contribute. This assessment ensures that those who can afford to pay more contribute a fair share to the cost of their care.
Is There a Limit to the Fee?
Yes, there are annual and lifetime caps on the means-tested care fee. This means that once a person has paid a certain amount over time, they no longer have to continue paying this fee. These limits help prevent financial hardship for aged care residents.
Where Can You Get More Information?
For details on specific costs and how they apply to you or a loved one, it is best to check with My Aged Care or seek advice from a financial planner who specializes in aged care.
