Understanding the cost of aged care in Australia

Cost & affordability

The cost of aged care can feel confusing, with different fees and funding options to consider. Whether you’re planning ahead for yourself or supporting a loved one, it’s important to know what the costs mean — and how government support works.

How do aged care costs work?

Australia’s government subsidises aged care providers to keep services affordable and accessible. How much you pay depends on your income and assets, as assessed by the government. Some costs are covered through subsidies, while others may need to be paid out of pocket.

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Aged care fees explained

Most aged care fees fall into four main categories:

  1. Basic daily fee
    This covers everyday services such as meals, cleaning, laundry, heating and more. Every resident in an aged care home pays this fee.
  2. Means-tested care fee
    This is an additional contribution towards your personal and clinical care, based on your income and assets. The government sets daily, annual and lifetime limits for this fee, and once you reach those caps, you don’t pay more.
  3. Accommodation costs
    Accommodation costs depend on the location, size and features of your chosen home. Providers set these prices, which are published publicly to ensure transparency. The government may subsidise these costs if your financial assessment shows eligibility.
  4. Additional service fees
    These are optional extras, such as premium dining, pay TV, or other lifestyle services. They are not subsidised by the government and vary between providers.

For more details, visit My Aged Care, the government’s official resource.

What to consider when choosing a provider

Cost is only one factor in choosing aged care. You’ll also want to consider:

  • Services offered: Not all providers deliver the same level of care or support programs.
  • Location: Is it close to family, friends, or the lifestyle you want?
  • Quality of care: Look for positive feedback from residents and their families.
  • Accommodation: From private studios to larger apartments, options vary by provider.

How LDK approaches aged care differently

At LDK Seniors’ Living, our model combines the independence of retirement living with the security of onsite care — all delivered with Love, Decency & Kindness. We provide certainty around costs, with transparent fees and clear communication from the start.

Most importantly, you won’t need to leave the village if your needs change. With our One Move Promise®, you can live with peace of mind knowing care is available in the same community, from low support through to high care and end-of-life care.

See the difference for yourself

If you’d like to understand how our approach compares, we’d love to show you around. Book a tour and speak with our team about lifestyle, care and costs in person.

Book a tour or call 1300 535 000

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