Aged care costs are confusing - for a reason
If you’ve tried to understand aged care costs, you’ve probably noticed:
nothing is straightforward
There’s no single price.
No simple answer.
And a lot of conflicting information.
That’s because what you pay depends on:
The type of care
Your financial situation
The level of support needed
And that’s exactly where people get it wrong.
The two main types of aged care costs
-
If someone receives care at home, costs are usually shared between:
The government (through Home Care Packages)
The individual (through contributions)
What you might pay
Basic daily fee
Income-tested fee (based on financial situation)
👉 The key point:
Home care often starts lower—but can increase as needs grow -
This is where things become more complex.
There are typically three main components:
Basic Daily Fee
Covers everyday living:
Food
Utilities
Standard services
Means-Tested Care Fee
Based on:
Income
Assets
Not everyone pays this—but many do
Accommodation Costs
This is the biggest variable.
You may pay:
A Refundable Accommodation Deposit (RAD) (lump sum)
A Daily Accommodation Payment (DAP)
Or a combination of both
Why two people can pay completely different amounts
Two people with similar care needs can pay very different amounts
This is where most confusion comes from.
Costs depend heavily on:
Assets (including property)
Income
Living arrangements
Care needs
The answer is:
👉 Sometimes - but not always
It depends on:
Whether a partner still lives in the home
The broader financial situation
How fees are structured
Do you have to sell your house?
Learn more:
👉 Do you have to sell your house to pay for aged care?
The biggest financial mistakes families make
Waiting too long
When decisions are rushed:
Options are limited
Costs can increase
You lose control
Not understanding the system
Many people:
Assume fixed pricing
Don’t realise how fees are calculated
Miss opportunities to plan
Making decisions based on fear
Selling assets too early
Choosing the wrong care type
Overpaying unnecessarily
The reality: there is no simple answer
And that’s frustrating - but important.
Because the right decision depends on:
Your situation
Your timing
Your options
Get clarity based on your situation
Instead of trying to piece everything together:
Attera helps you:
Understand where you stand
See what path makes sense
Avoid common financial mistakes