Aged care essentials

Aged care essentials

The uncertainty surrounding where to move, how much it will cost and where the money will come from can be overwhelming and stressful for those moving into aged care and their loved ones making decisions.

This page provides some basic information on the steps you’ll need to take, where to find answers and how your financial adviser can help you make an informed decision on aged care options.

Before moving in to an aged care facility, there are typically three phases or steps you need to take.

Step 1: Obtaining approval

Before entering an aged care facility in Australia, your health must be assessed to determine your eligibility for care. The assessment can be performed by any doctor, nurse or social worker who is a member of an Aged Care Assessment Team (ACAT or ACAS in Victoria).

Step 2: Finding a home

To make sure you find a home that you are comfortable in and that will suit your needs, you may wish to visit a few different places. You can apply to as many homes as you like.

The accommodation costs for all aged care facilities are published on the Government's aged care website. This website also provides descriptions of the rooms and services available at each facility.

Step 3: Organising your finances

On entry to a facility, you will be required to pay an accommodation contribution or accommodation payment.

Some people will have their accommodation costs met in full or part by the Australian Government, while others will need to pay the accommodation price agreed with the aged care home.

The Department of Human Services (Centrelink) will advise which applies to you based on an assessment of your assets and income. There will also be a basic daily fee to pay and there may be a means-tested care fee which is determined by your level of income and assets. Some facilities offer you a higher level of service or a higher standard of accommodation or food for an additional daily fee called an extra service fee.

Your financial adviser can help with the decisions you need to make and which strategies are best suited to your circumstances. They can also help you keep your plans on track with an annual review, in case your circumstances, or external factors such as legislation, change.

Important information

Information provided on the Challenger Websites is intended for Australian residents only and may not comply with the laws of other jurisdictions outside Australia. It is of a general nature and does not take into account an investor's individual circumstances, financial situation or needs or particular investment objectives. It is not intended to be investment advice nor a recommendation or statement of opinion about any particular financial product or class of financial products. As a result, it should not be relied upon in acquiring any financial product or service and is provided in good faith and derived from sources believed to be accurate and current at the date of publication. See Conditions of use for more information.