15 October, 2018 / IN Superannuation & retirement / by Georgia Shuwalow
Now that we have passed 1 July 2014 and the new Government Aged Care Reforms have been implemented there is a lot of confusion around the Aged Care Fee structure and when the pre and post rules apply.

Now that we have passed 1 July 2014 and the new Government Aged Care Reforms have been implemented there is a lot of confusion around the Aged Care Fee structure and when the pre and post rules apply.

Where the confusion usually occurs is for people changing Aged Care Facilities or those who were on a “at home care package” prior to 1 July but entered care after 1 July. A lot of clients also assume that now that the new reforms are in place their fees will automatically be adjusted. I am going to simplify this for you so that you will know which fee structure applies to you.

If you are in care prior to 1 July 2014 then you will stay under the previous fee structure unless you elect to change to the new fee structure or you leave care for a period longer than 28 days and then re-enter a care facility. You can change from one facility to another and retain your old fee structure as long as you do not leave care for longer than 28 days. This means that changing facilities alone is not a trigger for updating fee structures. Anyone who enters care after 1 July 2014 will be on the new fee structure.

This is the case even if you were on an “at home care package” prior to 1 July 2014 and are now looking at entering care. It is important to ge professional advice if you are considering moving to the new fee structure or leaving care for a long period of time (28 days or more) as the new fee structure can result in significantly higher fees than what you would be currently paying. You cannot be made to change to the new fee structure if you do not satisfy one of the above criteria.