2014 promises to be another year of great change. New Aged Care rules will be coming into force on 1 July, 2014.
There are many emotional and practical issues people face concerning decisions about aged care. Here are several points worth keeping in mind:
- The clock is ticking, so families will need to start their aged care planning as soon as possible;
- A significant change is that the comprehensive means test will be applied to determine the capacity to pay cost of living expenses;
- The cost of aged care will most likely increase for all, especially for self-funded retirees or those receiving a part Age pension;
- Those in residential care prior to 1 July, 2014 will most likely be better off financially as they will not be subject to the new rules;
- Early planning will create certainty as details of the changes are still to be finalised;
- Aged care planning is often the starting point for the establishment of a complete estate plan, (blended families and family owned businesses requiring special attention).
Because of the timing of these changes and the consequent urgency, please contact you adviser at WLM for information to assist you in assessing all the alternatives and enabling you to arrive at the most appropriate outcome for your family.