AUSTRALIA: Seniors to Cash In On the Good Times

MELBOURNE, Victoria (The Age), May 10, 2006: THOUSANDS of age pensioners and self-funded retirees will receive a one-off bonus of $102.80 by the end of June as the Government shares the joy of a healthy surplus. Australia's 2.6 million carers also share in the spoils, getting a one-off payment of up to $1000 — the third such payment in as many years — costing the Government $358 million. But carers are unlikely to be satisfied with the one-off payment after calling for an increase in the carer allowance to reflect the cost of care. The Government has also delivered on promises to shore up the safety of nursing home residents after a spate of abuse in nursing homes across the country. This budget provides $8.6 million over four years to widen spot checks on nursing from 563 checks in 2004-05 to around 3000. Each home will receive at least one unannounced visit a year. There is also $1.8 million for police checks on all volunteers who visit aged-care homes. According to an analysis by the federal parliamentary library, police checks can cost up to $175 each, so it is yet to be seen if the allocation covers the cost. The police checks on volunteers will be accompanied by mandatory police checks for all employees of aged care homes that get government subsidies. This includes most homes in Australia. But for nurses and aged-care advocates who have been calling for aged-care workers to be registered in the same way as health and child-care workers, the police checks are unlikely to be satisfactory. There will be more of these unregistered workers after the budget, with $4.7 million allocated to boost the number of volunteer visitors to government-subsidised aged care homes by 912 to 7500. A new complaints resolution body with investigative powers, which federal Ageing Minister Santo Santoro has flagged as a key plank in the Government's war on abuse in nursing homes, was not mentioned in the budget. While the Government has shared its largesse through one-off payments, it has toughened asset tests for people going into nursing homes who have to pay bonds on their accommodation. From this budget, if a person gives money or assets above $10,000 in a year to their children or relatives, the value of that gift will be counted among their assets to decide how much they should pay for aged care. The measure — which will save $71.7 million over five years — is designed to bring aged-care asset tests into line with the pension assets test. But it will also stop people from transferring assets into their children's or partners' names to stop them being counted among their assets. However, older people with large blocks of land that have been in the family for 20 years or more will have much more access to the age and service pension. From January next year the Government will pay $173.3 million over four years to exempt the value of their home from the age and service pension asset test. To pay for the $102.80 one-off payment for people on the age or service pension and self-funded retirees who also get the seniors concession allowance, the Government will spend $192.5 million. This payment is based on the utilities allowance, which recognises what pension recipients spend on electricity and other bills. The Government will also spend $35.6 million to extend this regular utilities payment to people on other pensions. There is also money to identify the best care practices in nursing homes and then to roll them out through the sector, as well as more funding for training of community aged-care workers and nurses. By Annabel Stafford The Age Copyright © 2006. The Age Company Ltd.