Changes to aged care means test for Residential Care

From 1 January 2016, rental income is included in the aged care means test for new Residential Care recipients and some existing Residential Care recipients.

Currently, rental income from a Residential Care recipient’s former principal home is included in the aged care means test if they make lump sum accommodation payments. It is not included if they make periodic accommodation payments or a combination of periodic and lump sum accommodation payments.

Residential Care recipients, entering care after 1 January 2016, will have rental income from their former principal home included in the aged care means test.

Residential Care recipients will not be affected by these changes if they entered care before 1 January 2016. This includes care recipients who:

  • take social or hospital leave before 1 January 2016 and re-enter care after 1 January 2016, or
  • start pre-entry leave before 1 January 2016 and enter care after 1 January 2016

After 1 January 2016, if a care recipient leaves Residential Care for more than 28 days, rental income from their former principal home will be included in the aged care means test when they re-enter care.

Read more about the aged care means test.

Page last updated: 3 February 2016

This information was printed Wednesday 28 September 2016 from humanservices.gov.au/health-professionals/news/changes-aged-care-means-test-residential-care It may not include all of the relevant information on this topic. Please consider any relevant site notices at humanservices.gov.au/siteinformation when using this material.