Take a quick Financial Freedom Check and find out how things really stack up.


We offer you financial advice on aged care accommodation to assist you in making choices at this difficult time. We can determine and explain the fees that apply to you, and how to structure your finances when going into an aged care home.

It’s a good idea to do some research and to get professional advice from an experienced aged care specialist to see what options work best for you. We can also advise you on the likely effect of your decisions on your ongoing care and your estate wishes as well.

The Australian Government pays for some of the services provided in aged care homes by way of subsidies for each resident, paid directly to the aged care home, but you’ll also contribute to the cost of your care.

How much you do pay (in addition to the standard Daily Care Fee that everyone pays), is means tested. There may also be Additional or Extra Services Fees depending on the aged care home you choose.

The Australian Government regulates the maximum costs you’ll pay, and aged care homes are required to publish fees on the government’s website, on their own website and in their promotional materials.

Below are details about some of the common fees you will come across and when and where they may apply.

Entry Fee – Refundable Accommodation Deposit  

This is a lump sum payable to the aged care homes for use of the room and they are Fully Refundable on exit and Government Guaranteed. Residents have 28 days after moving in to decide if they will pay a lump sum, or a Daily Accommodation Payment (interest), or a combination of both. There are stringent rules about how the aged care facility can use this money, and when and how it is to be refunded when the resident exits the home.

Basic Daily Care Fee

This is a daily fee used to contribute towards your day-to-day living costs such as meals, cleaning, laundry, heating and cooling. Everyone entering an aged care facility is asked to pay this fee. The Basic Daily Care Fee for ALL residents (including respite) is close to 85% of the single Age Pension.

Means Tested Care Fee

This is an additional contribution towards the cost of care that some people pay based on their income and assets. Centrelink will determine if you are required to pay this fee based on the results of the assessment of your Income and Assets. You’re required to complete an Income and Asset Assessment Form prior to entering an aged care home, however if you choose not to complete the assessment, you’ll be charged at the maximum rate. Some aged care homes charge an interim MTCF (Means Tested Care Fee) until they receive official notice from Centrelink. It’s worth noting that if you’re a member of a couple, half of your combined income and assets are considered in determining your MTCF regardless of which partner earns the income, or owns the asset. There are annual and lifetime caps that apply to this fee, and once these caps are reached, you cannot be asked to pay any more means-tested care fees. Any Income Tested Care Fees paid toward Home Care Packages prior to moving into residential care will also contribute toward your annual and lifetime caps.

Other Service Fees – Extra or Additional Services

Additional fees may apply if you choose a higher standard of accommodation, or extra, or additional services. These vary between aged care providers, and the home can give you details of these services. Services may include things like hairdressing and entertainment.

We recommend that all of the family get involved in the discussion and make a fully informed decision prior to executing any contractual agreement with an Aged Care provider.

For an obligation free chat, call us today on  03 9416 2065 or send us a quick message and we will get back to you promptly.


Book an appointment with your new financial advisor and get things moving in the right direction today!

  • This field is for validation purposes and should be left unchanged.