Aged Care Fees and Charges

1 November 2025 Arrangements

This is an overview of the fees and charges that may apply to you if:
• you are first entering residential care on or after the 1st of November 2025, and
• you were not approved for a Home Care Package on 12th September 2024.

If pre-31st October 2025 fees apply, you have the option to ‘opt in’ to these new arrangements.

The amount you pay will depend on your individual financial circumstances. Before you enter permanent care, if possible, you should have your means assessed to see if you are eligible for government assistance with fees and accommodation costs. You can apply for an assessment online through the Services Australia. website: https://www.servicesaustralia.gov.au/how-to-apply-for-aged-care-calculation-your-cost-care

1. Basic Daily Care Fee (set by the Department of Health, Disability & Ageing)
Maximum Fee: $66.80 per day
Who Pays: All permanent and respite residents pay this fee.
Description: This is a contribution to daily living services, including meals, cleaning, laundry and utilities. It is set at 85% of the single basic age pension, and changes in March and September each year.

2. Hotelling Contribution (set by the Department of Health, Disability & Ageing)
Maximum Fee: up to $22.15 per day
Who Pays: Only individuals who can afford to pay this fee will be charged, as determined by the Commonwealth Means Assessment. Services Australia will advise if payable, and how much.
Description: This is an additional contribution to daily living costs, and changes in March and September each year.

3. Non-Clinical Care Contribution (set by the Department of Health, Disability & Ageing)
Maximum Fee: up to $105.30 per day
Who Pays: Only individuals who are paying the maximum Hotelling Contribution will be charged this fee, as determined by the Commonwealth Means Assessment. Services Australia will advise if payable, and how much.
Description: This is a contribution to personal care costs, such as assistance with mobility and hygiene. It changes in March and September each year, and Daily and Lifetime caps apply.

4. Accommodation Payment
If your assets and income are below certain thresholds, the Commonwealth may subsidise some or all of this fee. However, if it is determined that you have the means to cover your Accommodation costs, there is a flexible range of payment options available.

Room Price: Assisi room prices vary by room. Please request a copy of our Accommodation Pricing Schedule for a list of offered Room Prices. The agreed Room Price may be paid through the following payment options:

Payment Option 1: Refundable Accommodation Deposit
A Refundable Accommodation Deposit (RAD) is a lump sum amount equal to the agreed Room Price (for example, $550,000). If you choose to leave, or in the eventuality of the Estate, it is refunded less any retention amounts and fees that you have agreed to draw down from it. You may request for any of the aged care fees to be drawn down from your RAD balance.

Retention Amount: if you are first entering residential care on or after the 1st of November 2025, if you pay a lump sum Refundable Accommodation Deposit, Assisi is required to retain 2% of the lump sum per year. This amount will not be refunded when you leave care. After 5 years in care, no further retention amounts will be deducted.

Payment Option 2: Daily Accommodation Payment
A Daily Accommodation Payment (DAP) is a daily charge calculated from the agreed Room Price using the interest rate advised by the Commonwealth applicable on date of entry.

Interest Rate: from 1st January 2026 this is 7.96%.

Note that the DAP must be paid unless and until a RAD is paid and is billed monthly in advance. If you are first entering residential care on or after the 1st of November 2025, the rate will increase due to indexation on 20th March and 20th September each year. (Indexation does not apply to Daily Accommodation Contributions (DACs) paid by residents eligible for government assistance with their accommodation costs.

Option 3: Combination of Option 1 and Option 2
A combination of a lump sum RAD and a DAP may be arranged. A partial lump sum payment reduces the daily accommodation fee payable. You may also request that this daily fee be deducted from the lump sum that is held by Assisi, to reduce the amount billed monthly. RAD retention and DAP indexation arrangement would continue to apply.

Refund of the Refundable Accommodation Deposit: Assisi is required to refund the Refundable Accommodation Deposit (RAD) to an estate within 14 days of receiving a Grant of Probate. Interest is paid to the estate from the date of departure until the date of refund. If a resident returns home or transfers to another facility, Assisi undertakes to refund the RAD within 14 days of the notice period. The Commonwealth further guarantees the full refund of Refundable Accommodation Deposits through the Accommodation Payment Guarantee Scheme.

More Information: Factsheets are made available by the Department of Health, Disability and Ageing as follows:

Fees and Charges Explained: https://www.myagedcare.gov.au/aged-care-home-costs-and-fees

1 November 2025 Fee Arrangements: https://www.health.gov.au/sites/default/files/2025-06/understanding-fees-for-aged-care-homes-1-november-2025-fee-arrangements_1.pdf

1 July 2014 Fee Arrangements: https://www.health.gov.au/sites/default/files/2025-06/understanding-fees-for-aged-care-homes-1-july-2014-fee-arrangements.pdf

Persons whose means tested amount is under the means test threshold will still be able to afford residential aged care as the Government will provide the aged care provider with a supplement. Some contribution may be required but it will be limited to a threshold based on the persons means tested amount.

Persons with assets above the means tested amount but who cannot pay the maximum accommodation payment for the room may be asked to top up the payment by a daily charge or drawdown of the refundable deposit amount from their RAD.