How much does an aged care home cost in Australia?
Residential aged care in Australia is funded by a mix of the Australian Government and the resident. Most residents pay between three and four separate fees.
Basic Daily Fee
Everyone pays this. It is set at 85% of the single basic Age Pension and is reviewed in March and September each year. As of early 2026 it is around $63 per day.
Means-tested Care Fee
Calculated by Services Australia from the resident's income and assets. There is an annual cap and a lifetime cap, after which the resident pays no further means-tested fee.
Accommodation Payment
A Refundable Accommodation Deposit (RAD), a Daily Accommodation Payment (DAP), or a combination. Maximum RAD is currently around $750,000 without ministerial approval — anything higher requires approval.
Extra (or Additional) Service Fee
Optional. Covers premium meals, wine, private rooms or excursions. Disclosed up front in the resident agreement.
What about a low-means resident?
If assessed as low-means, the Australian Government covers most of the accommodation cost. You'll pay only the Basic Daily Fee and a small accommodation contribution, if any.
Frequently asked questions
Authoritative sources
The figures and rules in this guide are drawn from the following official and independent sources. Open any link to verify the latest published numbers.
- Residential aged care fees and charges
Department of Health, Disability and Ageing
- Income and assets assessment (SA457 / SA485)
Services Australia
- Aged care fees and costs
My Aged Care
- Aged Care Pricing Authority — accommodation prices
Independent Health and Aged Care Pricing Authority
About this guide
Written and reviewed by the Nursing Home Match editorial team. We update guides at least annually and verify every figure against the official sources listed above. This guide is general information, not personal, medical, financial or legal advice. Always confirm details on Medicare.gov Care Compare (United States) or My Aged Care (Australia), or speak to a qualified adviser before making decisions.