The area of aged care is becoming more and more complex and requires a good understanding not only of the aged care system and associated fees but also the interaction with Centrelink and Veterans’ Affairs.
While ageing it is not something many of us want to consider, the reality is Australia has one of the highest life expectancies in the world and the trend is only increasing.
The Australian Government Productivity Commission Inquiry Report demonstrates at aged 65, an individual’s chance of needing aged care during their lifetime is 68 per cent for females and 48 per cent for males.
The 2015 Intergenerational Report displayed in 1974/75 the number of Australians aged 85 and over was 80,000 and represented approximately 1 per cent of the population.
By 2054/55 this number is anticipated to grow to approximately 2 million and, more importantly, represent approximately 4.90 per cent of the population.
With an ageing population, increasing complexity of care needs due to the prevalence of chronic diseases, and a consumer preference to age in the home, it is important to ensure you are well informed and in a position to receive appropriate advice when or if it becomes required.
The importance of receiving quality advice becomes even more apparent once you begin investigating the potential costs associated with receiving aged care, as well as the variations in cost depending on the payment structure you elect to undertake.
At a time when you are likely to be dealing with a spouse, parent or grandparent needing to go into care, it would be difficult to decipher the difference between Refundable Accommodation Deposits (RADs), Daily Accommodation Payments (DAPs) and Daily Care Fees to name but a few of the industry jargon.
All these varying factors can make the overall process quite confusing in what is already an emotional time.
It is for this very reason that Andrew Crestani and Jackson Stark, who are financial planners within Morgans Toowoomba, recently completed the ACS Accredited Aged Care Advice Steps program.
The purpose of the program is to allow Andrew and Jackson to be equipped to help a client decipher their potential Day One position, any interim actions which may be able to be conducted to allow the client to immediately improve their cashflow position, while also providing longer-term options including what may work best for a client and their family home.
Should you wish to discuss the aged care system and what your potential options may be, please contact the Toowoomba Office on (07) 4639 1277.
- Boh Burima Financial Adviser | Authorised Representative: 000341081. Morgans Financial Limited | ABN 49 010 669 726 | AFSL 235410
