When applying for a home care package, many people might get confused with a concept – Income Tested Fee.

 

What is Income Tested Fee?

The Income Tested Fee amount is different for everyone and is dependent on how much income you are receiving including your pension. This is determined by an income assessment conducted by Service Australia (CentreLink).  

Service providers like Melbar are not responsible for this fee and we are not allowed to waive this fee. However, we are collecting this fee amount on behalf of the government and it will go directly towards your home care package, meaning that you can use this amount you contribute to your own care services. In a nutshell,  if you have a higher income and can afford to contribute more towards your care, you will receive less subsidy from the government. 

How is your income ‘tested’?

When approved a home care package, you will be asked to conduct an income  assessment with Service Australia (CentreLink). They will assess if you need to pay this fee and how much. 

You’ll be asked to provide details of your superannuation, pensions, rental incomes, shares income, overseas incomes, etc.

You will need to pay an Income Tested Fee towards your package: 

If you are single and have an annual income of over $27,284.40,

If you and your partner have an annual income of over $21,158.80,

If you and your partner are separated due to illness and have an annual income of over $26,764.40.

Please note that a full-time pensioner cannot be asked to pay. Nor can you be asked to pay if your income is below the maximum income level of a full pensioner.  However, if you choose not to conduct an income assessment, you might be asked to contribute the cap amount of $30.86 per day. Therefore, income assessment for your home care package is very necessary.

If you have any questions regarding your income tested fee, please contact your case manager for more information.

 

You can learn more about Income Tested Fee on My Aged Care’s website here: https://www.myagedcare.gov.au/income-and-means-assessments/

Home Care Costs Explained in Chinese:https://www.myagedcare.gov.au/sites/default/files/2019-04/costs-explained-simplified-chinese-mandarin.pdf

Scan the QR code aside to follow our WeChat Official Account. Text “Income Tested Fee”/“收入测试表格” to get the CentreLink SA456 Form (Home Care Package Calculation of your cost of care) in Chinese for reference. 

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