Threshold update

The residential care subsidy (RCS) thresholds are cpi adjusted on 1 July each year. This year’s adjustments are the greatest since the annual cpi adjustment was introduced.

Effective 1 July 2023:

• allowable gifts in the gifting period increases from $7,000 to $7,500
• Gifts in recognition of care increase to $37,500
• Threshold A increases from $256,554 to $273,628
• Threshold B (family home and family car are exempt) increases from $140,495 to $149,845, and
• the income from assets exemptions increase as follows:
  • from $1,114 to $1,188 if the person is single
  • from $2,228 to $2,376 if the person’s spouse or partner is a resident
    assessed as requiring care, and
  • from $3,341 to $3,564 if the person’s spouse or partner is not a resident
    assessed as requiring care.

See further Seven Myths and Misunderstandings.

References

• Residential Care and Disability Support Services (Annual Adjustment of Applicable Asset Thresholds and Income-from-assets Exemption) Regulations 2023
• Residential Care and Disability Support Services Amendment Regulations (No 2) 2023