My dad is already in a Dementia Facility. My mum did not pay the RAD, but is paying fees for him monthly. My mum lives in the family home. She now needs to go into Care Also. If she sells the family home, can she use the full sale price to put towards a RAD for her, or only 50% of the Sale Price?
There is a minimum amount your mum must have available to her after making the payment of the RAD to the nursing home. Currently that amount is $47,500.
So by way of an example, if the asking RAD is $400,000 and the sale price of your mum’s house is $400,000 then your mum would only be able to pay $352,500 as the RAD (and then the remaining amount as a daily fee) which would leave your mum with $47,500.
My Aged Care explains it with the foll"If you choose to pay part all of your accommodation costs as a lump-sum, there is a minimum amount of net assets that you must be left with after paying the lump-sum amount.
This means that depending on your income and assets, you may not be able to pay by lump-sum in total, but you may be able to pay a combination lump-sum and daily amounts."
So you know, the current figure of $47,500 changes slightly every March and September and is shown in the “Schedule of Fees and Charges for Residential and Home Care”. You can find the current copy at the below link - with the part of interest being second page, second from the bottom.
We hope this helps clear things up.
the agedcare101 team.