3.3.6 Refund of accommodation costs | Compensation and Support Reference Library, Aged Care Means Testing, 3 Residential Aged Care Fees and Payments, 3.3 Accommodation Costs

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3.3.6 Refund of accommodation costs

The lump sum deposit (RAD, RAC) is refundable when the resident leaves care. However if the provider and resident agree, certain amounts can be deducted from the RAC and RAD, such as daily care fees, meaning the refunded amount when the person leaves care would be less these agreed deductions. Any amount of daily payment (DAP, DAC) paid in advance must also be refunded. If a resident leaves care and has not paid any DAP or DAC in advance, they can only be charged the daily payment up to the day they leave care.

A refundable lump sum payment for accommodation costs when the resident making the payment is not eligible for Government assistance, and is meeting the full costs of their accommodation on their own.

A refundable lump sum payable by aged care residents towards their accommodation costs, with the Government also making a contribution on the resident’s behalf.

A payment for accommodation costs worked out by converting the refundable accommodation deposit (RAD) to a daily amount, which is payable as a periodic amount by aged care residents.

A payment for accommodation that accrues daily and is payable as a periodic amount by aged care residents for whom the Government is also making a contribution.