Top 3 considerations when helping loved ones plan for aged care

Some of us are helping our parents or loved ones plan for the possibility of needing aged care services. It’s a daunting and emotional time, which can ultimately help us be more prepared for our own pre-retirement preparation.   

Here are the top three things to think about when planning for aged  care. 

1. Care Needs Assessment 

When planning for aged care it’s important to get a comprehensive assessment of your parents care needs by a healthcare professional. This assessment helps determine the level of care required and whether they can continue living independently or if residential aged care is necessary. Here are some key aspects to keep in mind: 

- Health and mobility: Assess their current health, any existing medical conditions, and mobility limitations. Consider how these factors may change over time. 

- Activities of daily living: Evaluate their ability to perform essential daily tasks independently, such as bathing, dressing, and cooking. Difficulty may indicate a need for personal care services. 

- Home environment: Consider the suitability of their current living situation. Is their home safe and accessible, or does it require modifications to accommodate potential mobility challenges? 

- Support Network: Take stock of their support network, including family, friends, and community resources. Determine who can provide assistance if needed. 

2. Financial Planning and Funding 

The cost of aged care services can vary widely, depending on the level of care needed and financial circumstances. Financial planning is essential to ensure you can access the care your parents require without depleting your savings or assets 

Consider these financial aspects: 

- Government support: Understand the government-funded aged care services available such as Home Care Packages, the Commonwealth Home Support Program, and Residential Aged Care. 

- Means testing: Aged care services are means-tested, meaning income and assets will be assessed to determine your parents contribution towards care costs.  

- Accommodation costs: If your parents require residential aged care, they may be required to pay an accommodation cost. These costs vary depending on the facility and location. 

- Funding sources: Explore funding options, including their superannuation, sale of assets (e.g., property), and potential support from family members. 

3. Estate Planning 

Estate planning is the third key consideration when preparing for aged care. This ensures that your parents wishes regarding care and assets are respected and documented correctly by a lawyer. Here's what to think about: 

- Advance care directive: Also known as a living will, an ACD outlines your healthcare preferences, including decisions about medical treatment and end-of-life care. 

- Power of Attorney: This appoints a trusted individual as their enduring power of attorney (medical and financial) to make decisions on their behalf if they become incapacitated. 

- Will and Estate Planning: Reviewing and updating their will to reflect their wishes ensures that their loved ones are provided for. 

We’re here to help 

Early planning and good advice is incredibly important and can take the stress out of your decision making. 

To help provide you with confidence and peace of mind, we have partnered with caring and compassionate aged care advice professionals, Aged Care Steps.  

Ask to be connected

For general super enquiries, phone one of our team members on 1800 675 839  between 8am and 8pm AEST Mon-Fri or email us.