The basic daily fee gives a useful starting point when working out how much an average nursing home costs per week in Australia. That equals A$25,159.45 per year at the current rate, before accommodation payments and any other applicable fees.
It’s understandable to want one clear weekly figure, but the total depends on more than the basic fee. Your room’s accommodation price, how you choose to pay and your financial assessment can all affect the amount. This guide explains the main weekly and annual costs, how room payments work and what to consider when estimating residential aged care costs.
Key Takeaways
- Separate everyday fees, accommodation payments and any assessed contributions to build a clearer weekly budget.
- Your means assessment can affect the fees you pay and whether government assistance contributes to accommodation costs.
- Compare paying for a room as a lump sum, daily payments or a combination to understand how each option affects your finances.
- Use the Aged Care Made Easy Directory to find and compare providers by how well they suit your needs and preferences.
How much does a nursing home cost in Australia?
Your bill combines everyday living charges, accommodation payments and assessed contributions. Changes to aged care funding can affect which costs the government covers and which you need to budget for.
Basic daily fees
The basic daily fee contributes towards everyday living expenses, so include it separately from room costs. For Australian aged care residents, the maximum basic daily fee is A$68.93 per day, based on current rates, according to the Australian Government Department of Health and Aged Care. The Government’s Schedule of Fees and Charges for Residential and Home Care is issued twice a year. Changes to fee arrangements can make costs clearer, but the different charge categories still take careful budgeting.
Accommodation payment options
A Refundable Accommodation Deposit (RAD) is a lump sum, while a Daily Accommodation Payment (DAP) spreads the room cost into daily payments. You can also combine them, which may help balance available savings with ongoing income. The DAP calculation uses the room’s RAD, 365 days and the Maximum Permissible Interest Rate applying when you enter care. The RAD is refunded when you leave, less agreed deductions and retained amounts.
Costs across states and territories
How do nursing home costs differ between Australian states and territories? The basic daily fee is set nationally, but accommodation prices can vary between homes and rooms. Location can affect the room price, but not the national daily fee. Compare homes in your preferred area by room costs and how well their services suit your assessed needs and preferences.
Residential care and home care costs
How do nursing home costs compare with home care costs in Australia? Residential care includes accommodation charges, while home care costs relate to support received at home. The services and funding arrangements differ, so compare the support you need as well as the fees. Government funding for clinical care in residential homes can reduce one direct cost, while other contributions still affect residents’ budgets. Explore types of aged care in Australia to compare care settings.
Want to estimate your room costs for residential aged care?
Your income and assets assessment helps determine which residential care contributions apply. The outcome can affect your weekly budget and the government assistance available for accommodation.
Means assessments and care fees
A means assessment considers your income and assets to determine your contribution towards care and accommodation. Residents in different financial circumstances may therefore pay different amounts.
Services Australia or the Department of Veterans’ Affairs assesses means-tested fees. From 20 September 2026, a single person with assets below A$66,500 and income below A$36,454.60 per year is generally considered to have limited means. The family home may count as an asset up to A$219,858.40, unless a protected person lives there.
How are means-tested care fees calculated, and what are the maximum amounts? Under arrangements starting 1 November 2025, the non-clinical care contribution is capped at A$109.45 per day. It ends after total contributions reach A$140,652.80 or after 4 years, whichever comes first. The hotelling contribution is capped at A$22.15 per day.
Extra services and personal expenses
Extra services and personal expenses sit outside standard care contributions, so include them in your budget. Charges depend on the services you choose and the personal items you pay for separately.
What extra services and personal expenses are charged on top of Australian nursing home fees? Higher everyday living services may add charges, while personal spending depends on your choices. You have a 28-day cooling-off period to cancel or vary higher everyday living services without a cancellation fee.
If your assessment is pending, an incomplete combined assets and income assessment can mean maximum hotelling and non-clinical care contributions, as well as the full accommodation price. Completing the assessment allows Services Australia or the Department of Veterans’ Affairs to determine your eligibility for government assistance. Include any privately funded accommodation payment in your estimate, such as a payment made using savings or proceeds from selling your home.
Annual nursing home cost estimates
To estimate how much an average nursing home costs per week in Australia, look beyond a single figure. Calculate recurring charges separately from lump-sum accommodation payments, then account for assessed contributions and personal extras. This helps distinguish ongoing costs from amounts that affect your savings.
At current rates, the maximum basic daily fee totals A$25,159.45 per year. The deposit itself is excluded from that annual figure.
Individual examples vary. These figures illustrate different financial circumstances, not a standard bill.
The Australian Government’s average AN-ACC subsidy was A$117,396 per resident in 2024-25. That funding supports residential care and is not the resident’s personal cost estimate.
Use your own assessment and the room’s payment terms to build a realistic yearly budget. Private funding could include savings or proceeds from selling your home to pay a lump sum. Finding private carers for the elderly relates to support at home, so it isn’t a useful measure of residential care costs. Compare residential aged care homes by room prices and how well they suit your assessed needs and preferences.
Aged Care Made Easy: Featured Directory Listing
Aged Care Made Easy helps you find and compare aged care providers across Australia as you consider your options. Explore residential aged care homes in the directory and compare their services, location and approach to care against your assessed needs and preferences.
A Featured Directory Listing is one way providers appear in the directory. Aged Care Made Easy also offers Premium Directory Listings, Aged Care Made Easy Guide Advertisements and a Lead Booster Marketing Package. These options help providers gain visibility. For families, the directory is a practical starting point for exploring services and narrowing the search.
Visit Aged Care Made Easy to explore aged care providers and compare your options.
Make your next aged care decision with confidence
Knowing how much an average nursing home costs per week in Australia gives you a starting point. Next, consider how your budget fits with the life you want. Think about the routines, location and care that matter most to you. This can help you compare homes on more than price and prepare questions for a visit.
Bring a trusted family member or support person into the conversation if that helps you feel prepared. You can use the Aged Care Made Easy Directory to explore providers and compare options that align with your preferences. Take the process one decision at a time, and contact Aged Care Made Easy to continue exploring your options.
Frequently Asked Questions
How are nursing home fees calculated?
Nursing home fees combine everyday living charges, accommodation payments and contributions based on your financial assessment. Your income and assets help determine whether you contribute towards accommodation or care. The accommodation amount also depends on the room price and how you choose to pay. Keep personal spending and optional services separate from assessed fees when planning your budget.
How do I work out how much to pay?
Start with your aged care fee advice and list each charge separately: daily living fees, accommodation, assessed contributions and personal expenses. Services Australia or the Department of Veterans’ Affairs assesses your financial circumstances. Compare the resulting payment schedule with your regular income and savings. If you’re considering a lump-sum payment using proceeds from selling your home, include that decision in your financial planning.
How do nursing home costs work?
Costs consist of separate payments, not one universal weekly charge. Some amounts are set nationally, while accommodation depends on the home’s room price and your chosen payment arrangement. Your financial assessment also affects eligible contributions. As a result, two residents in the same home may receive similar care but have different total bills.
How much do Nursing homes costs in Australia?
There isn’t one total that applies to every Australian resident. Your bill depends on the home’s accommodation price, your payment method and the fees determined by your financial assessment. For a practical estimate, compare the room payment options with your assessed contributions, then add personal expenses. This gives you a clearer picture of regular payments and any lump sum.
How much is the Basic Daily Fee?
The Basic Daily Fee is a separate contribution towards everyday living expenses in permanent residential aged care. It is distinct from accommodation payments and means-tested contributions, so review each charge separately in your fee information. This breakdown helps you see which costs relate to daily living, your room or your assessed financial circumstances.
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