People whose assets are above the asset threshold for Residential Care Subsidy   pay their own fees which are limited to the Maximum Contribution for contracted care services.  This applies to all levels of care; rest home, hospital and dementia. Private payers continue to receive New Zealand Superannuation.

Maximum Contribution is the agreed rate of payment for rest home level of care in each District Health Board (DHB). Maximum Contribution is GST inclusive and rates vary according to land value for different areas of New Zealand. New rates for Maximum Contribution are set on the first day of July each year. If agreed, a private paying resident can be charged a premium room fee on top of the Maximum Contribution rate.

For high levels of care such as hospital or dementia level care, the cost is greater than maximum contribution. This cost difference is covered by Top-Up subsidy, which applies to all needs assessed clients requiring a high level of care, including those paying privately. Application is made on their behalf by the needs assessor and payment is made directly to the provider, no action is required of the resident or agent.

Care facilities cannot charge for services included in the DHB contract. This applies regardless of how care is funded. Extra can be
charged for items or services outside of the contract by negotiation. Additional charges must be specified in the Admission Agreement.

If you do not financially qualify for a Residential Care Subsidy because you own a property and have limited cash or other assets, you may apply for a Residential Care Loan [PDF, 44 KB] to assist with the cost of your care.