Your care fees can change over time
The amount of your care fees can change over time for one or more of the following reasons:
Home care packages
If there has been a change to your income, your income-tested care fee can change.
Indexation (regular increases to fees) may affect your income assessment, which may change your income-tested care fee and basic daily fee.
Aged care homes
Your means-tested care fee can go up if your care needs change and a new assessment shows that you can contribute more.
If there has been a change to your combined income or assets, your means-tested care fee and accommodation contribution can change.
Indexation (regular increases to fees) may affect your combined income and assets, which may change your means-tested care fee, basic daily fee and accommodation contribution.
A quarterly review by the Department of Human Services will check for these changes. The quarters start on 1 January, 20 March, 1 July and 20 September each year.
For home care packages, the maximum income-tested care fee you can be asked to pay is based on your assessed income at the start of each quarter.
For aged care homes, the maximum means-tested care fee you can be asked to pay is based on your assessed income and assets at the start of each quarter.
The income-tested care fee and means-tested care fee is set at the start of the quarter and does not generally change during the quarter.
If your income-tested care fee or means-tested care fee does change, the Department of Human Services will let you and your home care service provider or aged care home care provider know by letter.
If your fees go down, you may receive a refund from your home care provider or aged care home. This will be backdated if applicable. If your fees go up you may be asked to pay more. This will not be backdated.
Annual and lifetime caps post-1 July 2014
There are annual and lifetime caps that apply to the:
The Department of Human Services will write to you and your service provider once you have reached the annual or lifetime cap.
The maximum amount of income-tested care fees for home care you can be asked to pay each year is:
$14.49 per day or $5,288.8 per year for people with income below $49,987.60 (as at 20 March 2017).
$28.98 per day or $10,577.70 per year for people with income above $49,987.60 (as at 20 March 2017).
These caps are indexed on 20 March and 20 September each year.
The maximum amount of means-tested care fee an aged care home can ask you to pay each year is:
This cap is indexed on 20 March and 20 September each year.
If you have not already reached the cap when it is indexed, then the new indexed cap will apply to you.
Once the cap is reached, you cannot be asked to pay any more income-tested or means-tested care fees until the next anniversary of when you first started receiving aged care.
Your service provider can still ask you to pay the basic daily fee, accommodation costs and any other fees outlined in your agreement.
Find out more about the current rates on the Schedule of Residential Fees and Charges.
The maximum income-tested care fees and means-tested care fees you may be asked to pay in your lifetime is $63,313.28 (20 March 2017).
Any income-tested care fee you pay while you are in home care will also be counted towards the annual and lifetime cap if you move into an aged care home.
This cap is indexed on 20 March and 20 September every year.
Read more at http://www.myagedcare.gov.au/costs/fees-annual-lifetime-caps