How our timely expert aged care advice left a family $10,500 better off in the first four weeks of care.
Recently, we worked with a family arranging aged care for their father.
We started with two main issues to manage:
They had been offered an aged care bed with a Refundable Accommodation Deposit (RAD) of $750k. The aged care provider sent a letter offering the bed, stating the family has a month to decide how to pay the RAD.
The family had begun applying for the Age Pension a month ago, but the process had stalled.
And from there, this is how we helped.
We reactivated the stalled Age Pension application.
The Outcome: The Age Pension will be backdated to the original application date four weeks prior. This backdating meant that they were eligible for $567 per fortnight for four weeks - an extra $1,134
After reviewing the aged care provider's offer, we identified that Daily Accommodation provider's (DAP) would accrue from Day 1 (not after a month, as the family had believed). Our recommendation was to pay the RAD in full on Day 1.
Outcome: Our client saved $172.19 per day for 28 days - a $4,820 saving.
We then advised our client to inform Centrelink about the $750k RAD payment on the same day.
Outcome: The couple became eligible for the maximum rate of the "Illness Separated Pension." The updated Age Pension was worth $2,290 per fortnight" for two weeks - resulting in an extra $4,580
The overall result means the family was over $10,500 better off within four weeks.
The fine print in contracts, minor delays, and not understanding a complex government system often leave retirees out of pocket.
Expert advice can have significant financial benefits, and in situations like this, where getting problems solved quickly is a priority, it often saves thousands of dollars when needed most.
Later Life Advice has over 20 years of experience helping retirees and their families make well-considered decisions.