Recently we conducted our first seminar on the complex area of planning for aged care.
Vicki Adams explained the types of related fees and charges that need to be considered during the planning stage. Residents about to enter care generally have the choice of paying the facility a Refundable Accommodation Deposit (RAD) as a lump sum, or a Daily Accommodation Payment (DAP) (which is essentially interest on the unpaid lump sum), or a combination of the two. In addition there is likely to be a Means Tested fee. Some facilities also charge an Extra Services Fee.
Each facility determines the amount of the accommodation deposit and extra services fees. It is the resident’s assessable assets and income which determine their contribution to the overall costs of care that must be paid by them.
As a guest speaker, Jenny Saward outlined to those present how daunting and time-consuming her recent experience was in helping ageing parents into care. With the challenges of not being well-versed in the terminology of Aged Care and with family members that are unwilling to engage in conversation about this sensitive topic, working through the process of entering a new aged care home can be even more overwhelming.
If you or someone you know is in the stage where advice on aged care options is needed, please feel free to contact Vicki at Saward Dawson. After getting an understanding of your financial situation we will be able to tailor a plan for you with the most appropriate fee options.