Determining the best Centrelink options - Case Study

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In August 1993, a mother and son jointly purchased a home together as joint tenants. They continuously resided in the property until June 2014, when the mother suffered a stroke which required her admission into an aged care facility.

Following her assessment from Centrelink, she was deemed to have assets in cash plus 50% of the market value of the family home.

The son was retired and living on an allocated pension, which was only sufficient to maintain his needs. He had no capacity to pick up the shortfall in his mother’s aged care fees.

If he sold the family home to raise the addition funds to pay for his mother’s care, then he would have nowhere to live himself.

It was immediately apparent to us that Centrelink had incorrectly assessed the mother.

In August 2015, we assisted her son to lodge a successful appeal. His mother was reassessed back to the date of the original assessment and she will receive a refund of $31,000 of aged care fees from the aged care providers.

Now, their home is classified as an exempt asset for Centrelink and Aged Care purposes.

The Aged Care rules are complex and expert assistance is often needed in navigating the whole process.

At PFI, we have the expertise to guide you through these complexities.

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