Quarterly Indexation June

Page last updated: 30 June 2015

Indexation rates for Residential Aged Care and Home Care Packages and changes to the Maximum Permissible Interest Rate (MPIR) from 1 July 2015

This information was uploaded on 30 June 2015

Dear Aged Care Stakeholder,

The schedules for residential and home care fees and charges and supplements have been updated to take effect from 1 July 2015 in line with changes to the basic age pension and indexation rates.  The Maximum Permissible Interest Rate (MPIR) will also change effective from 1 July 2015.

Australian Government Residential Aged Care and Home Care Supplements

The Australian Government Aged Care Subsidies and Supplements have been indexed effective from 1 July 2015.

This Schedule is available on the Australian Government subsidies and supplements page.

Schedule of Fees and Charges for Residential and Home care – for care recipients that commenced care on or after 1 July 2014

The Schedule of Fees and Charges for Residential and Home Care – for care recipients who commenced care on or after 1 July 2014 has been updated and will take effect from 1 July 2015.

The associated Department of Human Services quarterly review of fees and charges will be conducted with an effective date of 1 July 2015.  Care recipients and providers will shortly receive letters advising where there is a change to a care recipient’s fees and charges or where a refund may be due.

The Schedule is available on the Schedule of Resident Fees and Charges page.

Schedule of Resident Fees and Charges for residents in care on 30 June 2014

The Schedule of Resident Fees and Charges for pre 1 July 2014 Residents has been updated and will take effect from 1 July 2015.

The quarterly Department of Human Services review of income tested fees will be conducted with an effective date of 1 July 2015.  Residents and providers will shortly receive letters advising where there is a change to a resident’s income tested fee or where a refund may be due.

The Schedule is available on the Schedule of Resident Fees and Charges page.

Consumer Contribution in Home Care Packages for packages that commenced before 1 July 2014

A consumer who commenced a Home Care Package can be charged a basic daily fee of 17.5% of the basic rate of the single pension.  From 1 July 2015 this rate will remain unchanged at $9.77 per day.

Change to MPIR from 1 July 2015

The MPIR applicable to ‘refund periods’ for refundable deposit balances and accommodation bond balances and for accommodation prices will decrease from 6.36% to 6.15% effective 1 July 2015.

The Base Interest Rate remains unchanged at 3.75%.

Current and past refundable deposit balance and accommodation bond balance refund interest rates can be accessed at the Department of Social Services website.

Reminder to update published accommodation prices

Providers are reminded that they must update their published accommodation prices to reflect the new MPIR from 1 July 2015.  The daily payment amounts published on the My Aged Care website will be automatically updated on 1 July 2015 using the existing published refundable deposit amounts.  Providers should update the accommodation prices published on their own website and in relevant written materials accordingly.

If you have any queries, please contact My Aged Care on 1800 200 422.

Kind regards

Ageing and Aged Care Stream
Department of Social Services