A Guide to Rates and Thresholds for Aged Care and Pensions
Navigating the financial landscape of aged care and pensions in Australia can be a complex task. This comprehensive guide aims to provide you with all the crucial rates and thresholds effective from September 20 to December 31, 2023. Use this as your go-to quick reference guide for making informed decisions.
Residential Aged Care
Basic Daily Care Fee
- Fee: $61.96
- Who Pays: All residents in a residential aged care facility
Means-Tested Care Fee
- Fee: Lesser of the means-tested amount ($66.94) or the cost of care.
- Annual Cap: $32,718.57
- Lifetime Cap: $78,524.69
Note: The highest cost of care is $400.08 per day, including primary supplements.
How is the Means-Tested Amount Calculated?
- Income Test Contribution: \[((Total assessable income – income-free area) × 50%) ÷ 364]
- Asset Test Contribution: Calculated based on assessable assets.
– 17.5% of assets between $58,500 and $197,735.20
– 1% of assets between $197,735.20 and $476,205.60
– 2% of assets above $476,205.60
- The total amount is then divided by 364.
Income-Free Area
- Single: $32,331.00
- Couple (illness separated, each): $31,707.00
Accommodation Costs
If the means-tested amount is less than $66.94, an accommodation contribution is required. If it’s more, an accommodation payment applies.
Maximum Accommodation Supplement
- Newly Built/Refurbished and Meets 40% Low Means Quota: $66.94
- Not Newly Built but Meets 40% Low Means Quota: $43.65
- Newly Built but Doesn’t Meet 40% Low Means Quota: $50.21
- Neither: $32.74
Minimum Permissible Asset Level
Amount: $58,500
Maximum Permissible Interest Rate
- 1 Jan 2024 – 31 Mar 2024: 8.38%
- 1 Apr 2024 – 30 June 2024: 8.34%
Home Care
Basic Daily Care Fee
- Level 1 (Basic): $11.22
- Level 2 (Low): $11.87
- Level 3 (Intermediate): $12.20
- Level 4 (High): $12.53
Income-Tested Care Fee
Income-Free Area and Income Test Threshold
- Single: $32,331.00 (Free Area), $62,332.40 (Threshold)
- Couple (Living Together): $25,053.60 (Free Area), $47,668.40 (Threshold)
- Couple (Illness Separated): $31,707.00 (Free Area), $61,708.40 (Threshold)
Annual and Lifetime Cap
- Annual Cap: $6,543.66 or $13,087.39 (based on income)
- Lifetime Cap: $78,524.69
Pensions
Age Pension Age
- Prior to 1 July 1952: 65
- 1 January 1957 and later: 67
Maximum Rate of Pension (As of 20 March 2024)
- Single: $1,116.30 (fortnightly), $29,028 (annually)
- Couple (Each): $841.40 (fortnightly), $21,876 (annually)
Pension Asset Test (As of 20 March 2024)
- Single Homeowner: Full pension at $301,750, cut-off at $674,000
- Couple Homeowner: Full pension at $451,500, cut-off at $1,012,500
JobSeeker Payment
- Single, 22 or Over, No Children: $758.00 (fortnightly), $19,708.00 (annually)
- Member of a Couple (Each): $693.90 (fortnightly), $18,041.40 (annually)
Carer Allowance (As of 25 January 2024)
- Fortnightly Payment: $153.50
- Income Limit: Combined annual income of carer and partner must be under $250,000
For more personalised advice, you can reach out to Aged Care Financial Advisers at 1300 550 940.
Navigating the financial landscape of aged care and pensions in Australia can be a complex task. This comprehensive guide aims to provide you with all the crucial rates and thresholds. Use this as your go-to quick reference guide for making informed decisions.
