Refundable Accommodation Deposit/Daily Accommodation Payment
The Refundable Accommodation Deposit is set by the Hardi Aged Care Board of Directors. These prices only apply to residents entering care on, or after, 1 July 2014 who have been determined as having the assessed income or assets to afford such a payment.
They are only applicable to those residents entering on, or after, 1 July 2014 who Centrelink or DVA determines as having the asset base to afford such a payment.
The maximum Refundable Accommodation Deposits (RADs) and the corresponding Daily Accommodation Payments (DAPs) are as follows:
|Single room with ensuite||$375,000||$61.03|
|3 bed room||$260,000||$42.31|
|4 bed room||$250,000||$40.68|
1 x single room with ensuite – 8m2
15 x single room – 8m2
36 x double rooms – 16m2– 21m2
1 X 4 bed room – 31m2
*Please note that while some bedrooms do not have ensuites, they do have immediate access to bathroom facilities.
Each resident has the option to choose how they would like to make this payment. There are three options:
- a lump sum fully Refundable Accommodation Deposit;
- an equivalent Daily Accommodation Payment; or,
- a combination of both.
Within 28 days of entering the facility residents must advise the management of Hardi Aged Care which option they wish to choose. If this is not done, the Management of Hardi Aged Care will implement the option under the Aged Care Act for assigning the DAP. From the date of entry, and pending advice of the resident’s preferred option of payment, residents will be charged the DAP. Where the resident chooses to pay by lump sum (RAD), the DAP will be charged until the lump sum is paid. The DAP is non-refundable.
The RAD can also be paid by a combination of the lump sum RAD and a DAP. This means that the residents can elect to pay a percentage of the RAD as a lump sum and the remainder as a DAP. The DAP is calculated by applying the Maximum Permissible Interest Rate (MPIR) set by the Government, to the unpaid lump sum amount. An example is as follows:
Resident A enters into a single room which has a RAD of $335,000 and chooses to pay only 20% of the RAD as a lump sum and 80% as a DAP. Resident A would therefore pay a lump sum RAD of $67,000 and a DAP of $43.61. This DAP is calculated as follows:
|Unpaid lump sum||$268,000|
|Maximum Permissible Interest Rate||5.94%|
|DAP ($268,000 x 5.94%) divided by 365 days||$43.61|
For advice on fees and payments and how it may affect your personal situation we recommend seeking independent financial advice. A financial service versed in the aged care system can look at your individual situation and tailor a financial plan that best suits you.