Aged care is one of those industries that most of us only deal with once or twice in our lives.
It’s also an industry that is heavily regulated, and is part of a broader, complex health system.
If you’re feeling confused by all the aged care terms being thrown your way, read on for an explanation of the most common aged care concepts and jargon you’re likely to come across during your aged care journey.
Aged Care Assessments (ACAT)
ACAT assessments are used to evaluate the care needs of individuals and determine who can access government subsidised aged care services They are coordinated by Australian government organisation, My Aged Care. In Victoria the term used is ACAS, or Aged Care Assessment Service.
An ACAT assessment is the first step you need to take to access some government-funded aged care services.
ACAT assessments are used to determine eligibility and allocate funding for residential aged care placements, Home Care Packages and respite and transitional care.
Here is more information about ACAT Assessments:
ACAT assessments for government subsidised aged care (agedcarereviews.com.au)
Aged Care Facility
Also known as a nursing home, a Residential Aged Care facility provides live-in aged care services to residents.
Most aged care facilities are accredited and receive subsidies from the Government for delivering care. Residents can enjoy meals, room services, entertainment, social activities, round the clock nursing care and allied health services whilst in residence.
Commonwealth Home Support Program (CHSP)
The Commonwealth Home Support Program (CHSP) is an entry-level government subsidised program that provides basic home care services for older Australians. Most people accessing CHSP only require one or two services to help them live independently.
Here is more information about the CHSP:
All about CHSP – the Commonwealth Home Support Program (agedcaredecisions.com.au)
Daily Accommodation Payment (DAP)
The Daily Accommodation Payment covers the cost of a room in an aged care facility that is not paid up-front as a Refundable Accommodation Deposit. (note: RAD description below) The DAP is paid periodically (usually fortnightly or monthly) and is not refundable.
Home Care Package
Home Care Packages offer comprehensive in-home care services across four levels – covering everything from basic services to higher level nursing and medical support, such as a nurse coming to the home. Each Home Care Package level provides a set dollar amount each year, to help pay for the services you or your loved one needs.
Here is more information about Home Care Packages:
Live your best life at home with home care services (agedcarereviews.com.au)
Income and Assets Assessment
An income and assets assessment is carried out to establish how much you can afford to pay for your care and whether financial assistance might be necessary.
Detailed financial information is provided through an 18-page form submitted to Centrelink or the Department of Veteran Affairs. The Government uses this information to assess what subsidy is to contribute toward aged care services.
Here is more information about the income and assets assessment:
Income and means assessments | My Aged Care
Maximum Permissible Interest Rate
The MPIR is a rate used by residential aged care facilities to calculate a DAP that is equivalent to the payment of a RAD for any given room. The MPIR is set by the government and changes every quarter.
Here is more information about the MPIR:
All about the Maximum Permissible Interest Rate (MPIR) (agedcaredecisions.com.au)
My Aged Care
This is the Australian Government agency that organises federal funding for aged care services.
Before you can get subsidised aged care services, you must be registered with My Aged Care and go through an aged care assessment process.
Here is more information about My Aged Care:
All about My Aged Care – Aged Care Decisions
Refundable Accommodation Deposit
Also known as an Aged Care Bond, a Refundable Accommodation Deposit (RAD) is one of two ways a senior can finance entering an aged care facility on a permanent basis.
The RAD is a lump sum payment (or part-payment) made by a new resident, that covers the cost of the room they’re moving into.
Here is more information about Refundable Accommodation Deposits:
Do we have to pay an Aged Care Bond? | Aged Care Reviews
Referral Code
This is a 12-digit code (formatted like 1-12345678012) that is provided with an Aged Care Assessment. A potential aged care resident or recipient will receive a Referral Code for Respite and Permanent Aged Care or home care services. This code will allow aged care providers to view the aged care assessment online and understand a potential aged care resident’s care needs.
Respite care
This is a short term stay in an aged care facility. The Australian Government subsidises
up to 63 days of respite per financial year for an elderly person who has had an Aged Care
Assessment. A respite stay is also a good way for a potential resident to get to know a facility.
Respite care can also be delivered in the home or within the community.
Here is more information about respite care:
The pros and cons of residential respite care for seniors (agedcaredecisions.com.au)
Retirement villages
Retirement villages are often referred to as ‘independent living’ communities. Onsite staff provide limited support, and these communities are a great option for people who are reasonably mobile, and don’t require significant medical attention ór assistance with personal care.
Here is more information about retirement villages, and how they compare to residential aged care facilities:
Residential Aged Care vs Retirement Living (agedcaredecisions.com.au)
For FREE help at any stage of your aged care journey, contact Aged Care Decisions.
Aged Care Decisions makes navigating aged care so much easier for thousands of Australian families each month.
We are a 100% FREE and independent service matching older Australians with home care providers and residential aged care vacancies.
Our professionally trained Placement Specialists use custom-built software to consider care needs, location, budget, and personal preferences to collate appropriate and available care options tailored for you – with zero stress and at zero cost.
