How to Pay for Aged Care: Your Options
Paying for aged care: a plain guide to the fees, accommodation payment options, the means assessment, hardship help, and how to plan with confidence.
Who pays for what
Paying for care at home
Paying for residential care
RAD, DAP or a mix
The means assessment
Safety nets and hardship help
Getting advice and planning ahead
Frequently asked questions
How is aged care paid for in Australia?
It is a shared cost. The government funds the large majority, and you contribute based on a means assessment of your income and assets. Care is not means-tested away — people with limited means are supported, and safety nets exist so nobody goes without care because they cannot pay.
Do I pay for home care under Support at Home?
Clinical care such as nursing and allied health is fully funded with no contribution. Independence and everyday living supports are shared costs where you pay a contribution based on your income. Existing recipients are protected by the no worse off principle.
What are my options for paying for an aged care room?
You can pay a Refundable Accommodation Deposit (a refundable lump sum), a Daily Accommodation Payment (a daily amount), or a combination of both. You usually have a set period after entry to decide and can switch methods later. The best choice depends on your finances.
What if I cannot afford aged care fees?
There are protections: annual and lifetime caps limit means-tested contributions, fully supported residents may have accommodation covered, and financial hardship assistance is available for those who genuinely cannot meet a fee. Ask My Aged Care or your provider about hardship help.