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Department of Veterans' Affairs CLIK

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  • Compensation and Support Reference Library
  • Departmental Instructions
  • 1998
  • C12/1998 AGED CARE REFORMS
  • IMPACT ON INCOME SUPPORT POLICY
  • DETAILS & PROCEDURES FOR CANCELLATION OF RENT ASSISTANCE

DETAILS & PROCEDURES FOR CANCELLATION OF RENT ASSISTANCE

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  • Background
  • Who has had rent assistance cancelled automatically
  • Who needs to have rent assistance cancelled manually
  • Manual RA cancellation procedure
  • Advice issued for once-off payment of RA for payday 25 September 1997

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IMPACT ON INCOME SUPPORT POLICY

  • DETAILS & PROCEDURES FOR CANCELLATION OF RENT ASSISTANCE
    • Background
    • Who has had rent assistance cancelled automatically
    • Who needs to have rent assistance cancelled manually
    • Manual RA cancellation procedure
    • Advice issued for once-off payment of RA for payday 25 September 1997
  • Introduction
  • RENT ASSISTANCE ELIGIBILITY
    • Background
    • Impact on aged care residents
    • Residents still entitled to rent assistance
    • What is an approved facility
    • No Government subsidy payable
    • Exclusion from cancellation
    • Automatic rent assistance cancellation of pre-1 October 1997 residents
    • Manual rent assistance cancellation of pre-1 October 1997 residents
    • New admissions report
    • Certain pensioners will not notice RA cancellation
  • INCOME TESTING OF AGED CARE FEES
    • Background
    • Impact on pensioners
    • Impact on self-funded retirees
    • Components of daily fees
    • Commonwealth subsidy payable
    • DVA pays Commonwealth subsidy for certain residents
    • Basic daily resident contribution
    • Basic daily resident contribution for persons who lose pensioner status
    • Difference in contribution offsets loss of rent assistance
    • Resident pays the lesser of income tested fee or Commonwealth subsidy
    • What will be assessed as income?
    • Example - application of income test.
    • Income of couples
    • Maximum rate pensioners will not incur income tested fees
    • Maximum fees payable
    • Ready reckoners
    • Who will be income tested
    • Variable fee hostel residents
    • Blinded pensioners
    • Option not to be income tested

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Important legislative change

Note that the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 (DRCA) commenced on 12 October 2017.

As a result of this legislative change, the Department is updating its published information, including hardcopy and website content, as well as CLIK. While this process is well underway, it will take some time before all changes are complete. In the meantime, references within CLIK to the Safety, Rehabilitation and Compensation Act 1988 or SRCA should now generally be understood to be references to the new DRCA (with the exception of intended historical references to SRCA). It is important to note that the same provision references (i.e., sections, subsections and paragraphs) from the SRCA have been retained in the DRCA.

We appreciate your patience during this change process.

Accessed: 5 October 2023
URL: https://clik.dva.gov.au/compensation-and-support-reference-library/departmental-instructions/1998/c121998-aged-care-reforms/impact-income-support-policy/details-procedures-cancellation-rent-assistance