Comparing the difference in the cost of nursing home care as opposed to in-home care is a challenge due to the different models that can be applied to individual cases.
There are government funds and subsidies for some of these costs and you will need to research your options considering the situation.
Costs in Nursing Homes
Each resident is expected to pay Basic Daily Fee. Based on current rates, the maximum basic daily fee is $51.63 per day. It’s 85% of the single person rate of the basic age pension, this is for meals, cleaning, facilities management and laundry.
The second component that may apply is an additional amount that some people pay toward the cost of their day-to-day care determined through an income and assets assessment.
Fees for optional extras may apply for hairdressing, entertainment subscriptions and lifestyle options.
Bond or Accommodation payments.
Perhaps the most significant financial consideration a bond can range from $200,000 to one million dollars. The bond can be returned at the end of the residency but often requires the sale of the family home in order to secure a residency.
Costs at Home
There is a basic fee for a Home Care Package, which as of March 2019 is $147.56 per person, per fortnight.
People with higher incomes than the Aged Care Pension may be required to pay more, but their individual financial situations are assessed and consider unavoidable costs like pharmaceuticals, rent, utilities and living expenses.
Generally staying at home allows your parents a little more cash in their pockets as their home caters to some of the creature comforts that may be out of pocket expenses.
There may even be financial assistance available through My Age Care funding for additional support in this area. Contact us if you would like to enquire about what may be available or how a home care package can be created to facilitate healthy social connections for your mum or dad.
If you require more information on what may be available to your parents to assist them to live at home longer give us a call, we would love to help you get a better understanding of your options
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