Fees and payments
Your fees cover the care you receive and your accommodation, and sometimes higher everyday living services. Outlined below are the fees you may be required to pay.
Care fees
The care fees you pay depend on when you entered permanent residential care.
If you entered on or after 1 November 2025, the following fees apply.
| Basic daily fee $66.80 per day Paid by all residents |
Hotelling contribution Based on your means assessment Calculate your hotelling contribution |
Non-clinical care contribution Based on your means assessment Calculate your non-clinical care contribution |
What is this?
From 1 November 2025, residents entering permanent care pay a basic daily fee and, depending on their means assessment, a hotelling contribution and a non-clinical care contribution. Clinical care is fully funded by the Australian Government and is never charged to residents.
Basic daily fee
All residents pay this fee towards daily living services, including meals, cleaning, laundry and utilities. It is set by the Government at 85% of the single basic age pension and is reviewed on 20 March and 20 September each year in line with the age pension. Everyone is required to pay this fee unless they are experiencing financial hardship, which is assessed by Services Australia.
Hotelling contribution
Residents who can afford to contribute more towards their daily living costs pay a hotelling contribution. Services Australia will tell you whether you need to pay this contribution and, if so, how much, based on your means assessment. The maximum amount is indexed on 20 March and 20 September each year.
Non-clinical care contribution
Residents who pay the maximum hotelling contribution may also need to pay a non-clinical care contribution. This contributes towards personal care costs such as bathing and assistance with mobility. Services Australia will tell you whether you need to pay this contribution and, if so, how much, based on your means assessment. The maximum amount is indexed on 20 March and 20 September each year. The contribution is capped at a daily maximum and is payable for a maximum of four years or until a lifetime cap is reached.
Confirming your fees
To confirm what you will pay, you will need a means assessment by Services Australia or the Department of Veterans’ Affairs. We recommend lodging your request as early as possible, before you enter our care home.
If you entered permanent care before 1 November 2025
Residents who entered permanent residential care before 1 November 2025 continue under the previous fee arrangements and are not subject to the new contributions. This is known as the ‘no worse off’ principle.
These residents pay:
- the basic daily fee The same fee that applies to all residents, and
- a means tested care This is an additional daily care contribution fee based upon an individual’s assets and income. This fee is determined by the Department of Human Services upon completing a ‘Request for a Combined Assets and Income Assessment form’ and is capped annually and over a resident’s lifetime.
These residents do not pay a hotelling contribution or a non-clinical care contribution.
PLUS
Accommodation fees
Your choice of 4 fee payment options
What is this?
In addition to care fees you may also be required to pay an accommodation payment. The accommodation payment refers to the price of the room that you choose. The amount that you are required to pay is based on your assets and income and is determined by Services Australia through an aged care calculation of your cost of care.
You may be required to pay all or contribute to the cost of your accommodation. Having your means assessed is not compulsory, but for those who choose not to, the full room price will apply.
To allow for flexibility there are four ways in which you can choose to pay for your accommodation.
PLUS
Higher everyday living fee
What is this?
The higher everyday living fee is optional. It covers services that are of a higher standard than, or in addition to, the everyday living services we are required to provide. It does not cover accommodation or care.
For a full list of optional services and prices at our care home, please contact us.
Accommodation fee options
Option 1
Daily Accommodation Payment (DAP)
$173.22 per day
for a Single room with private ensuite
What is this?
Instead of paying a lump sum, you may choose to pay a Daily Accommodation Payment (DAP). The DAP is calculated using the following formula:
DAP = (Room Price × Maximum Permissible Interest Rate) ÷ 365
The Maximum Permissible Interest Rate (MPIR) is set by the Australian Government.
For residents entering residential aged care on or after 1 November 2025, the DAP amount may be indexed twice per year, on 20 March and 20 September, in line with CPI.
OR
Option 2
Refundable Accommodation Deposit (RAD)
$750,000
for a Single room with private ensuite
What is this?
This option allows you to pay for your accommodation as a lump sum deposit.
The balance of your Refundable Accommodation Deposit (RAD) will be refunded when you leave the aged care home, less any agreed deductions.
For residents entering the care home on or after 1 November 2025, AVACS is required by law to retain an amount equal to 2% per year of the Refundable Accommodation Deposit, for up to five years. This amount is deducted from the RAD before the remaining balance is refunded when you leave the aged care home.
A lump sum payment is counted as an asset in your means assessment, and may therefore affect your hotelling contribution and non-clinical care contribution.
OR
Option 3
Combination Payment
You may choose to pay part of the accommodation cost as a RAD and part as a DAP.
For example:
Agreed RAD of $300,000 once off, and DAP of $103.93 per day.
DAP is calculated as follows:
| Room Price | = $750,000 |
| Agreed RAD | = $300,000 |
| Maximum Permissible Interest Rate | = 8.43% (example only — the actual MPIR applied will be the rate published by the Government at the date of entry) |
DAP = [($750,000 − $300,000) × 8.43%] ÷ 365 = $103.93 per day
What is this?
Part Refundable Accommodation Deposit (RAD) and part Daily Accommodation Payment (DAP). The RAD portion will be refunded when you leave the aged care home, less any agreed deductions and applicable retention amounts.
For residents entering care on or after 1 November 2025, AVACS is required by law to retain an amount equal to 2% per year of the RAD portion, for up to five years, and the DAP component may be indexed twice yearly, on 20 March and 20 September.
OR
Option 4
Drawdown Payment
What is this?
This option is similar to the combination option, but the DAP is deducted from your RAD balance. When you leave the aged care home, the remaining RAD balance will be refunded, less any agreed deductions and applicable retention amounts.
Over time, drawing your daily payment from your lump sum will increase your daily payment, unless you top up the lump sum.
For residents entering care on or after 1 November 2025, AVACS is required by law to retain an amount equal to 2% per year of the Refundable Accommodation Deposit, for up to five years, and the daily accommodation payment component may be indexed twice yearly, on 20 March and 20 September.