Aged Care strategy, options and assistance.
Aged Care Financial Advisors (ACFA) have the industry knowledge and understanding of the complex financial issues surrounding aged care to support individuals and families navigate through the system.
We listen to your needs, answer your questions and provide comprehensive information.
Our fixed fee service includes:
Start with a family meeting to make shared decisions. Use this meeting to:
- Discuss options and preferences
- Explore each person’s concerns
- Decide who needs to be involved in any planning
Frank and open discussion is the first step to an effective decision-making process.
Assess your options
To help you decide which option is best, we’ll arrange a free assessment by an aged care assessment team or service.
This is known as ACAT and ACAS. You will need to have ACAT/ACAS approval before you can access government subsidized services.
Search for services
If residential care is required, make a list of what’s important to you. Consider location, amenities and your health care needs.
This list will help you to develop a short list of potential services which you might like to contact or visit.
What you will pay for residential care is divided into contributions towards accommodation, care and additional services. How much you have to pay may depend on:
- The service you choose
- Your assessable assets
- Your assessable income
The total payable can be hard to calculate without good advice.
You need to pay for your accommodation. This is a contribution toward the cost of the land, buildings and maintenance. You can choose to pay a lump sum or a daily payment or a combination.
- Refundable accommodation deposits (RADS) are paid as a lump sum. Just like buying a house, the amount you pay may depend on the location and quality of the accommodation. The amount you pay is fully refunded when you leave, unless you ask for other fees to be deducted from the RAD or you have outstanding fees when you leave. Repayment is guaranteed by the Federal Government if paid to an accredited aged care service. Ask to see their certificate.
Daily accommodation payments (DAPS) are like paying ‘rent’ or interest on any unpaid RAD.
Daily care fees
You will be asked to contribute toward the cost for your care through:
- Basic daily fee at a rate of 85% of the basic single age pension.
- Means-tested fee is payable if you have income and assets over specified thresholds. This amount is limited by an annual cap and a lifetime cap.
Additional services fees
This is payable for extra services in selected and may be offered as a package or on a user pays basis.
If you have low levels of assets and income you may wish to complete a Centerlink income and assets form before you accept a place to see if you qualify for concessions on the accommodation payments. But get advice before you complete this form to avoid any unintended consequences.
Covering the costs
Before making a move, completing a review of your financial situation is ideal to ensure you can create sufficient cashflow and maximise your estate.
Many decisions may need to be made including:
- Should the family home be kept, sold or rented?
- Is it best to pay a RAD or DAP for accommodation?
- How is your Centerlink / Veterans Affairs’ pension affected and can this be improved?
- What are the best investment options for any surplus money?
- How to manage any taxation implications?
- What are the implications to your estate?
Anytime your circumstances change, it is important to consider the impact this has on your estate plans. This includes when you move into aged care. You may need to consider:
- Reviewing your Will, and if needed, update it to reflect any changes.
- Reviewing your investments with ‘death benefit’ nominations.
- Make sure you have the appropriate powers in place so that someone you trust can make decisions on your behalf including Enduring Power of Attorney and Enduring Guardianship.
These documents can only be put in place while you are deemed of sound mind so it’s wise to establish them early.
When you accept a place in an aged care service you will be asked to sign a Residential Agreement. This will detail the services provided and fees payable. It will also outline your rights and obligations.
Fees may commence once the place is accepted but you have 28 days to decide whether to pay for your accommodation as a lump sum (RAD) or a daily fee (DAP). After this you may still have time to rearrange assets to make the payments.
If you receive Centerlink or Veterans Affairs payments, you must notify the change in living arrangements as well as any changes to your income and assets.
Don’t forget to let your doctor, bank, Medicare, electoral roll and other relevant organisations know your new address details.
Our expertise can provide you the confidence and surety to make financial decisions that work for you and ensure you the best care, leaving you free to focus on enjoying time with your loved ones.