Aged Care

Aged Care can be confusing, it is expensive and there will be a lot of decisions that you and/or your family will need to make in potentially a short amount of time.

Planning for Aged Care, even if you are currently health and independent (and an aged care facility is a few years away), an ensure your assets and cashflows are structured in the most beneficial manner.

Planning will also eliminate the need to have to make decisions when you and your family are in a highly emotive state.

No, there are other care options available to you.

For example:
- You may choose to receive care in the home via the Commonwealth Home Support Program or a Home Care Package. Services include meal preparation ,gardening, cleaning, personal care, transport, provision of aids within the home etc.;
- Granny flat living arrangement; and/or
- Living with a close relative.

Home Care is the provision of services within your home.

Whereas an Aged Care facility provides 24/7 care for residents who can no longer safely live at home.

Receiving financial advice in relation to Aged Care can help you and your family ensure you have your assets structured in such a way to maximise any entitlements to the age pension, ensure there is enough liquid assets to meet ongoing care and lifestyle needs, and determine how much (if any) of the Refundable Accommodation Deposit (RAD) to pay.

Families often feel pressure from an aged care facility to pay the RAD immediately and this may mean you end up selling assets in a hurry or paying unnecessary capital gains tax on the sale of investment assets.

Aged Care should be considered in your long term retirement plan.

All levels of Aged Care requires financial input from you, even if you choose to stay at home. Residential aged care fees are means tested and can be quite expensive depending on your facility chosen and your level of assets (and therefore your ability to pay).

Planning for such a big expense is prudent for all of us.

Yes!

Individuals on a Home Care Package will be classified between Levels 1 to 4.

Level 1 provides basic support compared to Level 4 which provides a much higher level of support.

Your level of care is determined by an aged care assessment where you will be asked a range of questions about your ability to complete daily activities. The assessment will also gauge your cognitive function.

Retirement villages and lifestyle communities are suitable for individuals or couples who do not require constant care.

This is in contract to residential aged care facilities that provide constant care, nursing and support. Individuals who require a higher level of care (e.g. those with dementia) may need to attend a facility that specialises in this area.