Question 1

How much does residential aged care cost per week?

Accepted Answer

Weekly costs depend on your income and assets. Everyone pays a basic daily fee (currently around $61/day or $427/week). You may also pay a means-tested care fee based on your financial situation, plus accommodation costs (RAD lump sum or DAP daily payment). Use our calculator above for a personalised estimate.

Question 2

What is the difference between RAD and DAP?

Accepted Answer

A Refundable Accommodation Deposit (RAD) is a lump sum you pay upfront — it is refundable when you leave, less a retention of 2% per annum and any outstanding fees. A Daily Accommodation Payment (DAP) is a daily rental-style charge calculated from the RAD amount using the Maximum Permissible Interest Rate (MPIR). You can also pay a combination of both. Our RAD vs DAP calculator can help you compare options.

Question 3

Can you negotiate the RAD price?

Accepted Answer

Yes. The published RAD is the maximum the provider can charge, but you can negotiate a lower amount. Providers must accept a reasonable offer. Factors like room condition, location, and occupancy rates can all influence negotiations.

Question 4

What changed with aged care fees in November 2025?

Accepted Answer

From 1 November 2025, new residents pay under a revised fee structure. The means-tested care fee was replaced by two separate fees: the Non-Clinical Care Contribution (NCCC) and the Hotelling Supplement Contribution (HSC). The calculator covers both pre- and post-November 2025 rules.

Question 5

What happens to the RAD when someone dies?

Accepted Answer

The RAD is refunded to the estate within 14 days of the provider being notified of the resident's death, minus any outstanding fees and a retention amount of 2% per annum of the RAD (calculated from the date of entry). The DAP component stops on the date of death. This means the refund is not the full RAD amount — the longer the stay, the more is retained.

Question 6

Is the aged care pension enough to cover costs?

Accepted Answer

The full age pension alone typically covers the basic daily fee with a small amount left over for personal expenses. However, it will not cover accommodation costs (RAD/DAP) or any means-tested fees. Costs vary significantly depending on the facility — private providers tend to be more expensive than not-for-profit or government-run homes, and RAD amounts can range from under $200,000 to over $1 million depending on the room and location. Most residents need additional savings, assets, or family support to cover the full cost.

Frequently Asked Questions

Frequently Asked Questions