Understanding the cost of Residential Aged Care can be confusing and that’s why we’ve put together some simple resources on this page to help you.
It is important that you fully understand the different fees and charges you may need to pay, before signing up to any Residential Aged Care services.
The cost of aged care is different for every individual and is determined by the Australian Government based on your financial situation – please see their handy fee estimator calculator at myagedcare.gov.au.
From 1 November 2025, residential aged care fees will change under the Aged Care Act 2024. These changes affect new residents only. All existing residents, or those entering care before this date, will continue under the current fee arrangements unless they choose to switch.
Learn more: Understanding Fees from 1 Nov 2025
Key Aged Care Costs Explained
1. Basic Daily Care Fee
This fee covers clinical care, meals, laundry and basic services and is a standard charge for every resident in aged care set by the Australian Government. This is based on approximately 85% of your single Centrelink pension.
2. Means-Tested Fee
This only applies if your income or assets exceed the maximum threshold set by Government. The maximum amount you will be asked to pay is capped. From 1 July 2025, the maximum advertised room price cap increased to $758,627 and will be indexed annually.
Moving from Home Care Services to Residential Aged Care?
This still applies — any income-tested fees paid under Home Care Packages will be counted towards your cap (old or new system).
Learn more: Published prices and maximum accommodation payment amounts
3. Accommodation Payment
This applies to all residents determined as non-supported by the Government. The amount is based on the type of Home chosen, its features and facilities as well as the payment option adopted.
Payment Options:
- Refundable Accommodation Deposit (RAD) – refundable when the resident leaves.
From 1 November 2025, providers may retain 2% p.a. for up to 5 years (max 10% total).
- Daily Accommodation Payment (DAP) – calculated using MPIR.
From 1 November 2025, indexed twice yearly to CPI.
- Combination Payment – part RAD + part DAP.
- Drawdown Payment – DAP deducted from RAD.
Example: For a $410,000 room, RAD $205,000 + DAP on remaining $205,000: $43.66/day (MPIR 7.78%).
Learn more: Accommodation payments and contributions for residential aged care
4. Dove Plus – Additional Services
Our Dove Plus service goes above and beyond the already high level of accommodation that you can expect. You can enjoy entertainment, concerts, outings, happy hours, and premium meal choices. Fees vary by location and service level.
We’re Here to Help
Catholic Healthcare remains committed to providing support to those in financial need. Contact our friendly team at 1800 225 474 to learn more about your options and get assistance tailored to your needs.
If you would like more information about the Aged Care Reforms and changes that may impact you, please speak with our team to understand what applies to you or read more about the Aged Care Reforms here.
Find residential aged care homes near you
Residents can choose from 41 residential aged care homes across New South Wales and South East Queensland, ranging in size, style and price.
All of our residential homes offer high-quality facilities in warm, friendly welcoming environments where residents are sure to feel right at home.
What can you expect when you move into a Catholic Healthcare residential home?
We understand that adjusting to living in a residential aged care home can signify a major change in lifestyle and so it is important to have time to adjust to this change. This will likely impact you’re your family and loved ones. Catholic Healthcare understands this and will be here every step of the way.
Evelyn, Resident at Holy Spirit Casula
George, Resident at Catholic Healthcare
Michael, Son of a Resident at McQuoin Park (Wahroonga)What's happening?
Acknowledgement of Country
Catholic Healthcare acknowledges the Traditional Custodians of the lands on which we live, work, and care. We pay our respects to Elders past and present, and honour the enduring connection of Aboriginal and Torres Strait Islander peoples to Country.