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How are variable fees calculated

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Variable fees are calculated by the aged care provider.  DVA has no input into the income used to calculate variable fees.  The income transmitted by DVA to DH&FS is not utilised by the provider who calculates income based on income details obtained directly from the resident.

The level of fees is not dictated by DH&FS, however the resident must be left with a minimum amount of income.  There is also a maximum charge of up to 85% of a resident or couple's private income that the provider can levy.  Providers can choose to levy a lower percentage if they wish.