Start with the question in front of you
These answers provide a useful first explanation. A person’s actual fees still depend on their entry history, income and assets, provider agreement and current government rules.
Do I have to sell the family home to pay for aged care?
No. A person can keep, rent or sell the home. The choice can affect pension entitlements, aged care contributions, accommodation funding and cash flow, so the scenarios should be compared before deciding.
Does the whole value of the family home count?
Not necessarily. If no protected person occupies the home, the residential aged care means assessment generally includes the lower of the net market value or the current capped home value. The home can be exempt while an eligible protected person lives there.
What is a RAD?
A Refundable Accommodation Deposit is a lump sum paid towards the agreed room price. The remaining balance is refunded when the resident leaves care, after any permitted deductions and applicable retention amounts.
Is a RAD completely refundable under the new rules?
For people first entering care on or after 1 November 2025, providers retain 2% per year from the daily RAD or RAC balance for up to five years. Other agreed deductions may also reduce the balance.
What is a DAP?
A Daily Accommodation Payment is the non-refundable daily amount paid on the unpaid part of the room price. It is calculated using the applicable maximum permissible interest rate.
Can a resident pay part RAD and part DAP?
Yes. A combination payment can be divided in any agreed proportion. Paying a larger part RAD generally reduces the daily accommodation payment.
Can a family member pay the RAD?
Yes, but a family-funded lump sum is treated as the resident’s asset for the aged care means assessment. Legal advice is sensible when the payment is intended to be a loan.
What happens if the means assessment is not completed?
The assessment is not compulsory, but a person who does not disclose the required financial information can be charged maximum contribution rates and may not receive government accommodation assistance.
Which Services Australia form is used?
A self-funded retiree commonly completes the SA457. A person receiving a means-tested income support payment who owns or part-owns a home may need the SA485. Current instructions should always be checked.
Does Services Australia assess both partners?
For aged care means assessment purposes, half of the couple’s combined income and assets is generally assessed, regardless of whose name an asset is held in.
Can residential aged care fees change after entry?
Yes. Government amounts are indexed, financial circumstances can change, provider prices can change and optional service agreements can be varied. Changes generally need to be reported within 28 days.
Are higher everyday living fees compulsory?
No. They are optional, require a separate agreement and cannot be used as a condition of entry or to secure a room.
What does Support at Home charge for clinical services?
The participant contribution rate for approved clinical supports is 0%. The government funds the full service price, subject to the program rules and available budget.
Why do two people pay different Support at Home contributions?
The percentage depends on pension and concession-card status, income and assets, and whether the service is clinical, independence or everyday living. Provider prices also differ.
Does Aged Care Fee Experts provide financial advice?
No. The service provides fee information, calculations, scenario comparisons and practical Services Australia support. It does not recommend investments, financial products or a particular financial strategy.
Still unsure how the rules apply?
A point-in-time calculation can bring the relevant fees, accommodation options and Services Australia information into one clear report.
Book a Complimentary Initial ConsultationGeneral information only: These answers do not provide financial, legal or tax advice. Rules and rates can change.