Managing accommodation payments and contributions for residential aged care
Residents who entered care in an aged care home from 1 July 2014 may pay an accommodation payment or contribution. Residents can choose from lump sum or rental-style payment options, or a mix of both.
What are accommodation payments and contributions?
Accommodation payments and contributions are payable by some residents who enter care from 1 July 2014.
All residents negotiate and agree to a room price before moving in to an aged care home, but not all residents will need to pay this price. Services Australia conducts a means assessment to see if the resident qualifies for ‘low means’ status.
A resident without low means status, or with means not disclosed status, is not eligible for assistance with their accommodation costs. They will pay the agreed room price as an accommodation payment.
A resident with ‘low means’ status is eligible for Australian Government assistance with their accommodation costs. They will either pay nothing for accommodation or contribute towards the cost by paying an accommodation contribution.
For each low means resident, the Government will pay your service the difference between the maximum accommodation supplement and the amount of accommodation contribution the resident is eligible to pay. If their means tested amount is $0, the resident will not pay an accommodation contribution. Instead, the Government will pay the full maximum accommodation supplement your service is eligible for.
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