Accommodation Payments

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Accommodation Payments

I've read everything I can find on web sites and it basically doesn't make sense.  To explain my situation.  I am 62, have been through an ACAS assessment and approved for High Level Residential Care.  I am on a disability pension and have been for seven years. I have modest assets, I am currently living in an independant living residential village and have been for the same seven years.  After all the charges when I leave the village I will have left assets of approximately $100,000.  My only income is the disability pension.  I have no dependants or other family support.  My sister is in a similar situation, is younger, also on a disabilty pension and living in an independant living village and just started the ACAS process.  We share a common genetic degenerative condition. I am in chronic disabling pain and spend around 18 hours a day in bed as a result.
 
Now with only approx $100k in assets I clearly cannot fund a RAD, nor am I interested in having a refunded RAD as on "leaving" as there will be no one to gift it to.
 
My only income is the Disability Pension so 85% goes to Accomodation payment, the remain 15% is needed to cover miscellaneous costs such as medication (alone cost around $100 pm), clothes, personal care item etc.  There is nothing going to be left over, much less such luxuries as "entertainment".
 
So I can pay a DAP for approximately 7 to 10 years at a minimum level facility, but what happens then?  As I read the rules, effectively I end up living on the street. Nothing I have read covers this situation and no one seems to know the answer, other than vague generalities.  There is apparently a minimum asset figure of just under $50k, but I am above that.  And pretty much all private operators change above the minimum DAP rates and presumeably won't look at someone like myself.
Can you please explain my options and what actually would happen with respect to my charges, not now, but some years down the track when my assets have run out.
 

Jill Donaldson

Hi regvic,

Apologies for the delay in replying. Robert Craven at Affinity Aged Care Financial advice has replied to your question as follows:

If your total assets are $100,000 you would be assessed as a partially supported (low means resident) so your only aged care facility fees would be:

Basic Daily Care Fee – currently $48.44 per day plus

Daily Accommodation Contribution (DAC) $25.72

 

Total annual cost of care $27,068.40 (with the DAC decreasing as your assets decrease – reduces to $0 if your assets decrease to $46.500).  Total annual disability support pension $22,804.60.  His advice is that you  will never be ‘out on the street’.

Hope that helps

Jill

 

 

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