When’s the right time to start planning?
It’s time to consider your aged care options when you start winding down from work and plan for retirement. It may seem too early to think about a future you can’t imagine, but the reality is, it’s probably too late to consider aged care when the need for it has actually arrived.
If you—or your family—need to decide about aged care suddenly, as is often the case with unexpected illness or injury, the added emotional stress can make finding an agreeable solution seem impossible.
By thinking ahead early you can consider alternative options and put plans in place—then you can move on to enjoying your retirement.
Can you stay at home for longer?
The ‘Living Longer Living Better’ Federal government reforms encourage older people to stay at home longer, before having to enter residential care, by providing low-cost home care packages.
The services provided include:
- transport for shopping and appointments
- social support
- personal care
- food services
- domestic help with household jobs
- home and garden maintenance
- home modifications
- nursing care
- medical assistance.
If a home care package is something you’re interested in, find out if you’re eligible by reading more here.
Paying for aged care
When the time does come to move into an aged care facility the associated costs will be determined by a means test applied to your personal income and assets, including the family home.1
It is tempting for homeowners with insufficient cash to cover the cost of aged care accommodation by selling or renting out their property.2 For example, if they rent out their home, a combination of rental income and part-pension may provide enough money for living costs, while preserving the family nest. Selling up on the other hand, could reduce an individual’s pension entitlement if the value of the home far outstrips the cost of care.
So it’s really important to seek advice on what the best option is for you.
Planning for tomorrow, today
Make sure you’re living the best life you can―whether it’s in your own home or a care facility. A financial adviser can help with every stage of aged care planning; including helping you understand what is involved. Remember, AMP is here to help at all life stages. Call us on 131 267 Monday to Friday from 8am to 8pm and Saturday and Sunday between 9am and 5pm AEST.
As you approach retirement, check what government benefits you’re entitled to