Document ID: chunk:federal_register_of_legislation:C2025C00122:section:7:p37
Version: federal_register_of_legislation:C2025C00122
Segment Type: section
Provision Reference: s 7 (pt 37/61)
Character Range: 273305–276123

for the care recipient, the care subsidy reduction for the remainder of the start‑date year is zero.
 (5) If, apart from this subsection, the sum of all the previous *combined care subsidy reductions made for the care recipient would exceed the lifetime cap applying at the time, the care subsidy reduction for the remainder of the care recipient's life is zero.
 (6) The maximum accommodation supplement amount for a day is the highest of the amounts determined by the Minister by legislative instrument as the amounts of accommodation supplement payable for residential care services for that day.
 (6A) The adjusted basic subsidy amount for a care recipient for a day is an amount:
 (a) determined by the Minister by legislative instrument; or
 (b) worked out in accordance with a method determined by the Minister by legislative instrument.
 (7) The annual cap is the amount determined by the Minister by legislative instrument.
 (8) The lifetime cap is the amount determined by the Minister by legislative instrument.

44‑22  Working out the means tested amount
 (1) The means tested amount for the care recipient is worked out as follows:

      Means tested amount calculator
      Work out the income tested amount using steps 1 to 4:
           Step 1. Work out the care recipient's *total assessable income on a yearly basis using section 44‑24.
           Step 2. Work out the care recipient's *total assessable income free area using section 44‑26.
           Step 3. If the care recipient's total assessable income does not exceed the care recipient's total assessable income free area, the income tested amount is zero.
           Step 4. If the care recipient's *total assessable income exceeds the care recipient's total assessable income free area, the income tested amount is 50% of that excess divided by 364.
      Work out the per day asset tested amount using steps 5 to 10:
           Step 5. Work out the value of the care recipient's assets using section 44‑26A.
           Step 6. If the value of the care recipient's assets does not exceed the asset free area, the asset tested amount is zero.
           Step 7. If the value of the care recipient's assets exceeds the asset free area but not the first asset threshold, the asset tested amount is 17.5% of the excess.
           Step 8. If the value of the care recipient's assets exceeds the first asset threshold but not the second asset threshold, the asset tested amount is the sum of the following:

                (a) 1% of the excess;
                (b) 17.5% of the difference between the asset free area and the first asset threshold.

           Step 9. If the value of the care recipient's assets exceeds the second asset threshold, the asset tested amount is the sum of the following:

                (a) 2% of the excess;