Means-Tested Care Fee Explained

Which fee arrangements apply?

Entered on or before 31 October 2025 usually means the 1 July 2014 fee arrangements, unless the resident has opted in to newer arrangements. Entered from 1 November 2025 usually means the newer arrangements, although no-worse-off protections can preserve the older fee arrangements for some people. The fee arrangement affects whether the person may pay a means-tested care fee, or a hotelling contribution and non-clinical care contribution. Means status is set on entry to that home, but fee amounts can still change through indexation or changed means.

• 1 July 2014 fee arrangements: basic daily fee, accommodation costs, means-tested care fee where applicable, and higher everyday living fee if agreed.
• 1 November 2025 fee arrangements: basic daily fee, accommodation costs, hotelling contribution, non-clinical care contribution where applicable, and higher everyday living fee if agreed.
• Moving to a different aged-care home can mean a new means assessment.

Cohort note

Applies mainly to residents on the 1 July 2014 fee arrangements. If your parent entered residential care from 1 November 2025, check whether the newer hotelling contribution and non-clinical care contribution rules apply instead.

Why this fee matters

This fee can materially change the total cost picture. The advertised accommodation price is only one part of a room comparison.

Assessment timing

If the assessment is incomplete, interim fees may apply. Ask the provider how charges are handled while assessment results are pending.