Rest homes and private hospitals

Although most people remain in their own homes during retirement, a small number shift into rest homes.

Only 4.9% of all those age 65 or more live in rest homes; 5.7% of those aged 75-84 live in a rest home compared with 24.5% of those aged 85 and over (Statistics NZ 1998 New Zealand How 65 plus).

If you are thinking about residential care, you should begin by having a 'needs assessment' - this applies even if you are in a public hospital.

A needs assessor can visit you at home or in hospital to talk with you about tasks you find difficult, family/whanau or social support available to you and the kinds of services that would help you stay at home. It is often helpful to have another family/whanau member with you at this meeting. If the needs assessment process identifies long term care as the best choice for you, the assessor will recommend a level of care appropriate for your situation.

Your doctor will be able to tell you the needs assessors in your area.

The needs assessment will also indicate whether you may be eligible to apply for a Residential Care Subsidy. If you qualify, the subsidy and most of your NZ Super will be used to pay for the care, leaving you a small amount of personal money to spend.

If you have a partner who requires care, you can continue to live in your home for as long as you are able. Your home, car, chattels and prepaid funeral expenses for you and your partner of up to $10,000 only count as an asset if both you and your partner are in long term residential care. For more information, contact Work and Income, or download their residential care subsidy brochure. You can also call 0800 999 727 and request a copy.

On 1 July 2005 the Government changed the eligibility rules for Residential Care Subsidies, lifting the limit on the assets you can own before qualifying.

You can find out more about rest homes and private hospitals from HealthCare Providers NZ on 04 473 3159, or the Association of Residential Care Homes (Inc) on 09 445 1707, or Eldernet on 03 388 1204. The Consumers' Institute also has a checklist of things to consider when looking at rest homes.

Now, read about the Residential Care Subsidy, home ownership, your options for renting, what retirement villages offer and the Retirement Villages Act.