What Happens If I Can’t Afford Aged Care?

Firstly, no matter what your circumstances, the Australian government will fund residential aged care ensuring it is accessible for everyone who needs it. The costs to enter vary by home, and the amount of funding towards your care depends on your ability to pay and your financial circumstances.  

Where do I get started?

You firstly need to be assessed for aged care by the team here. Once you know you are eligible, that is the perfect time to contact us so that we can ensure you are receiving the maximum funding towards your care. This process can seem daunting and this is where the panic of “I can’t afford aged care’ can sometimes come into play. Please seek independent financial advice from a reputable financial advice professional such as Aged Care Specialists Vic. It is important to receive advice before selling your home or making any significant financial decisions pertaining to aged care so that you ensure you know all of your options. 

How much funding will I get towards aged care?

This depends entirely on your circumstances, as no two people are the same. You can use this calculator to get an approximate amount, (https://www.myagedcare.gov.au/how-much-will-i-pay). Keep in mind however it is recommended to seek financial advice to ensure you understand potential ways of maximising your funding. 

I can’t come up with the RAD, can my kids lend me the money?

This is an option that can be investigated, however may not be necessary. By receiving financial advice, you will be given various options and outcomes, so you and your family can make an informed financial decision.  You can read more about the RAD here. There are options about paying the RAD in a lump sum, or as daily payments. You have 28 days from entering aged care to decide on how you are going to proceed. 

How do I afford the other aged care fees such as daily costs?

There are numerous fees involved with aged care, (https://www.myagedcare.gov.au/aged-care-home-costs-and-fees). The daily fee is 85% of the pension, and there is a means tested fee. There are caps on these fees, which at Sept 2021 are $28793 per year or $69102 in a lifetime. There are also extra fees for things like pay TV or hairdressing, which are arranged at the facility. 

How do I get advice?

Provide yourself and your loved ones with peace of mind by investing in the right advice. The right advice could save thousands.

Get in touch with us by booking your telephone consultation here 1300 001 225. Our friendly team will show you just affordable and straightforward receiving our advice can be.

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