Financial Care Services Newsletter
by Christine Hopper
Volume 14 Edition 6 – 28 June 2024
Christine at Financial Care Services, the specialist adviser to seniors in transition to new lifestyles
Centrelink help with the costs of giving fulltime care
Sadly not every adult is safe to stay at home alone for even a few hours.
Seniors who are frail aged and other adults with severe disability or medical conditions, could need intensive care and supervision throughout the day.
But not every frail senior fancies moving into residential aged care.
Living with family could be the preferred option for seniors who are cognitively good and able to walk short distances with the assistance of a strong adult.
Ready access to adult assistance for every physical challenge might be required to prevent falls and mishaps in the kitchen.
These seniors could still enjoy the mental stimulation of living within the family.
Younger able bodied adults could also function well within the family home whilst being supervised by a responsible person.
A family member often becomes the fulltime carer; the adult who puts their own life on ‘hold’ to be available to care for a parent, partner or adult child.
As a community, we support those who curtail their time out for work or study, in order to care for another adult.
Firstly, Carer Allowance is a modest fortnightly payment to the partner, friend or family member, who provides substantial daily care.
The Carer Allowance is not intended as your primary income.
Secondly, Carer Payment is a fortnightly income support payment for when caring duties exclude the carer from fulltime work.
The payment rates and financial means testing for Carer Payment are similar to those for the Age Pension.
Centrelink administer the Carer Allowance and Carer Payments.
Who qualifies for Carer benefits from Centrelink.
Claiming Carer benefits from Centrelink is a two-step process.
Step 1 is for the care recipient to qualify as needing a fulltime carer.
To qualify for a Carer Allowance, the care recipient’s ‘care needs’ must be both intensive and extensive.
Just needing serious help to get up, bathed and dressed is unlikely to qualify for a fulltime carer.
Continuous supervision, with intermittent action, to prevent falls and/or inappropriate activity is likely to qualify for a fulltime carer.
The tasks required for this step is to have a health professional who is currently treating the care recipient, complete the Centrelink form regarding current physical and mental capacity and their care needs.
You could look at the Carer Payment and/or Carer Allowance Medical Report for a person 16 years or over form (SA332A).
Then you could think about what the care recipient can do for themselves and when help is needed.
A health professional who knows the care recipient must complete the Carer Payment and/or Carer Allowance Medical Report for a person 16 years or over form (SA332A) – Services Australia and send it to Centrelink.
Centrelink then assess the Medical Report and determine if the care recipient qualifies.
Then Centrelink write to the care recipient to advise them if they have qualified for a carer to claim Carer Allowance.
Once this Centrelink letter is received the family could start on step 2
Step 2 is for the preferred carer to qualify for the Carer Allowance.
Carer Allowance is an income supplement for people who provide additional daily care and attention for someone who is frail aged or has a significant disability or a medical condition.
Both the Carer and the person being cared for, must be citizens or permanent residents of Australia who are actually living in Australia.
Carer Allowance can only be paid to an Australian citizen or an adult who has been a ‘permanent resident’ for at least one year.
A recent immigrant would not qualify for Carer Allowance.
Carer Allowance is payable at $153.50 per fortnight in June 2024.
The Carer Allowance is available to help with the additional costs of providing care.
You could think of Carer Allowance as a contribution to your petrol costs for taking your family member to medical appointments and running errands for them.
There is no assets test for Carer Allowance but there is an income test.
You are ineligible for Carer Allowance if you and your partner have a total combined ‘adjusted taxable income’ of $250,000 a year or more.
Remember ‘adjusted taxable income’ is the taxable income that you report on your annual Income Tax Return plus some ‘adjustments’ for ‘income like items’ that are excluded from your taxable income.
Your superannuation could be counted in these ‘adjustments’.
Carer Allowance can be paid in addition to wages, or another income support payment.
You could be paid Carer Allowance in addition to your Age Pension.
Centrelink want you to apply for Carer Allowance via your MyGov account.
You can start your Claim for Carer Allowance
The Claim form for Carer Allowance is no longer directly accessible via the Centrelink website.
However, Centrelink still offer the Carer Allowance adjusted taxable income details form (SA489) for you to complete and sign in ink. form (SA489) – Services Australia
Step 3 Consider applying for Carer Payment (also known as ‘Carer Pension’)
Carer Payment is a Centrelink fortnightly income support payment paid to carers who personally provide care for someone with a severe disability or medical condition, and because of the demands of their caring role, cannot work full time.
The Carer Payment is paid at the same rates and subject to the same means tests as the Age Pension.
You cannot be paid both a Carer Payment and an Age Pension or Disability Support Pension.
Caring duties might be for a period of several years but not a whole working life.
Therefore younger carers are allowed some ‘off duty’ time to prepare for fulltime work when their carer duties are over.
Carers may be away from their carer duties for 25 hours per week for work or study, without losing their Carer status.
But your earnings from work are counted in your ‘income’ for the Carer Payment ‘Income Test’.
To qualify for Carer Payment both the carer and the care recipient must be living in Australia.
If you are not an Australian citizen then you cannot claim Carer Payment until you have a completed a ‘waiting period’ of two years as a ‘permanent resident’ of Australia.
Centrelink expect you to claim Carer Payment via your MyGov account as an additional benefit to your Carer Allowance.
You must inform Centrelink about all of your income and assets as part of your claim for Carer Payment.
You must complete the Centrelink Income and assets form (SA369) – Services Australia and send it to Centrelink. formSA369
Remember, if you have a domestic partner then you must include your partner’s details on all of your Carer Payment forms.
The Centrelink Income and Assets form require you to attach copies of your bank statements and ownership records for your major assets.
Help with Centrelink challenges is available from Christine Hopper at Financial Care Services, the specialist adviser to seniors in transition to new lifestyles.
Christine has neat handwriting just right for inserting your data into small printed spaces.
She helps clients complete Centrelink forms.
Christine could help you with collating your supporting documents and then mailing your form to Centrelink.
Christine at Financial Care Services
Christine at Financial Care Services writes these Newsletters.
She could help your family navigate your Centrelink challenges.
Christine at Financial Care Services charges hourly rate fees for helping with Centrelink matters.
To make an appointment for confidential, independent and professional advice about aged care, retirement lifestyle costs, granny flat or Age Pension issues please contact Christine Hopper or call +61 3 9808 0338.
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Christine Hopper
Financial Care Services
Independent aged care, strategic lifestyle and Social Security advice for seniors in Melbourne, Victoria, Australia
Telephone – call +61 3 9808 0338
Email – contact Christine@financialcareservices.com.au
Address – mail to 2B Thomas Street, Camberwell Victoria 3124
Website – visit financialcareservices.com.au
LinkedIn – connect https://www.linkedin.com/in/christinehopper1
Past newsletters – see http://financialcareservices.com.au/newsletters/
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Disclaimer: The information contained in this newsletter is of a general nature only and does not constitute “financial advice”.
All eligibility for Commonwealth benefits will be determined by Centrelink or DVA, based on your personal position as documented and the legislation and Regulations in force at that time.
© 2024 Christine Hopper @ Financial Care Services. All rights reserved.