The Centrelink Aged Care Pension is the same as the Centrelink Age Pension, which is received by anyone who meets the standard eligibility criteria and is calculated as being eligible for the pension under the ‘Income Test‘ and ‘Assets Test‘
The payment rates for the Centrelink Pension can be found here .
Sometimes, a person may receive a pension from the Department of Veteran Affairs (DVA) instead of from Centrelink. DVA provides support to veterans and their dependants. Pension payments rates received from DVA may differ to thise received from Centrelink.
If you know someone who will be moving into a nursing home, or even wondering how to get someone into a nursing home; in your capacity as an Enduring Power of Attorney, it is important that you first consider how their move into aged care care will affect their Centrelink Aged Care Pension entitlements.
There a several factors that will influence the level of Age Pension that will be received after a person moves into aged care. Similarly, there are several factors that will be taken into account when determining the typical costs of nursing home care that will be payable.
Structuring your income and assets in certain ways can result in significant changes in aged care costs including, but not limited to:
- how much to contribute towards the Refundable Accommodation Deposit
- Whether or not to keep the former home. Who to rent it to. How much to rent it for.
- Buy, retain, or close down income stream products and superannuation accounts.
- and so on…..
Using aged care financial planning strategies to reduce aged care costs and improve Centrleink or DVA entitlements is one of the first things that should be considered prior to moving into aged care. But, even if you are already in aged care, there are ways to re-structure your current financial circumstances to create a more beneficial outcome.