RAD and DAP calculator
Aged care homes publish a room price. You can pay it as a refundable lump sum (RAD), a daily payment (DAP), or any mix of both. This calculator shows what each choice actually costs.
Every home must publish its room prices. Rooms above $750,000 need government approval.
DAP calculated at the Maximum Permissible Interest Rate of 8.43% as at 1 July 2026 (reviewed quarterly). Basic daily fee $66.80 as at 20 March 2026 (indexed with the Age Pension in March and September). For residents entering from 1 November 2025, providers retain 2% of a RAD per year for up to 5 years, and means-tested contributions can also apply. This is a guide, not financial advice.
The four cost layers of residential care
- Basic daily fee. Everyone pays this. It is set at 85% of the single basic Age Pension and indexed in March and September.
- Accommodation (RAD or DAP). What this calculator covers. The lump sum is government-guaranteed and refunded when you leave, less any agreed deductions. For residents entering from 1 November 2025, providers retain 2% of the RAD per year for up to 5 years.
- Means-tested contributions. Services Australia assesses income and assets and may ask you to contribute more towards care and everyday living costs. Caps apply.
- Extras. Optional higher-everyday-living packages for things like wine with dinner or premium TV. Entirely optional and must be agreed in writing.
Room prices are published for every home. When you compare homes, compare the room price AND the Star Rating together; an expensive room in a poorly rated home is the worst of both worlds.