About This Site
The Aged Care Cost Estimator is a free tool for Australian families trying to understand what residential aged care will cost — before committing to a facility or seeking formal financial advice.
Who This Is For
When a parent suddenly needs residential care, most families have never heard terms like RAD, DAP, or means-tested care fee. The government's own resources — while accurate — are scattered across multiple websites and written in bureaucratic language. A financial adviser can provide formal advice, but costs $2,000–5,000 for a one-off consultation.
This site fills the gap. It's designed for the adult child — typically aged 45–65 — who needs to understand the financial landscape before they can have an informed conversation with their family, a facility, or an adviser. It gives you the vocabulary, the ballpark figures, and the framework to understand what you're dealing with.
How the Calculator Works
The estimator asks 5 questions covering who the estimate is for, location, income, assets and accommodation preference. It then applies the three government fee formulas to produce a personalised estimate:
Basic Daily Fee
A fixed daily fee charged to every resident. Currently $63.57/day ($23,198/year). Set at 85% of the single basic Age Pension rate — updated on 20 March and 20 September each year.
Means-Tested Care Fee (MTCF)
A variable fee based on income and assets. Calculated as: (excess income × 50%) + (excess assets × 17.5%) per year, subject to an annual cap (~$32,719) and lifetime cap (~$78,526). Capped at zero for people with low income and few assets.
Accommodation Cost (RAD/DAP)
The cost of accommodation at the facility, paid either as a lump sum (Refundable Accommodation Deposit — refunded on exit) or a daily rate (Daily Accommodation Payment = RAD × MPIR ÷ 365). The MPIR is currently 8.38%.
The calculator uses income and asset ranges (not exact figures) to reduce friction and protect privacy. Midpoints of the selected ranges are used for calculations. All results are estimates — individual assessments by Services Australia may produce different figures.
Data Sources
All rates used in this calculator are sourced directly from official Australian Government publications. Rates are updated quarterly, or when the government publishes new figures.
Means-tested care fee thresholds, annual and lifetime caps, income and asset free areas
Basic daily fee, Maximum Permissible Interest Rate (MPIR), Home Care Package subsidy rates
Average length of stay in residential aged care (2.7 years), sector statistics
Facility RAD pricing — regional averages derived from published facility data
Current rates effective: March 2026. Next update: September 2026.
Accuracy and Limitations
This tool is designed to give you an accurate ballpark figure — not a precise quote. There are several reasons why the actual fees may differ from the estimate:
- The calculator uses income/asset range midpoints, not exact figures.
- Your parent's actual assessable income and assets are determined by Services Australia — some income sources and asset types have specific rules not captured in the simplified wizard.
- RAD amounts vary significantly between facilities. The regional averages used here (sourced from sector reports) may not reflect the specific facility you choose.
- The means-tested care fee calculation may be affected by couple provisions, pension type, superannuation phase, and other factors not captured in a 5-question wizard.
For a precise assessment, request a fee estimation letter from the facility and an aged care fee assessment from Services Australia (1800 227 475). Consider consulting an accredited aged care financial adviser (AACFI designation) for formal advice.
Disclaimer
This site provides general information and estimates only. It is not financial advice. The information on this site does not take into account your individual circumstances and should not be relied upon as a substitute for personal financial advice from an accredited aged care financial adviser. Always verify fee information with Services Australia and the relevant facility before making financial decisions.
Free · No registration · 5 minutes