Are you on the brink of selling a home to pay for care in Australia? Hold on! As there are some ways to avoid. Taking care of yourself in luxury care facilities is costly. It may take you to the point of selling a home due to huge expenses.
However, is there any way to avoid that? Yes, plenty of ways to make money while you enjoy your care facilities. So, let’s shatter the misconception of selling home for care in Australia in this blog. Continue reading if you’re really into avoiding selling your home.
Nursing Home Costs Australia
According to the Australian Institute of Health and Welfare (AIHW), around 245,000 people lived in nursing homes in 2019-2020. One thing all agree here is that nursing homes and aged care facilities aren’t cheap. The average cost of a nursing home in Australia is around 470,000 AUD. Premium aged care facilities in popular cities can cost up to 1 million AUD. People often sell their homes to cover the nursing home charges in Australia.
But can we arrange something beforehand to cover these charges? How to avoid selling home to pay for care? The answer is; “Passive income sources.” Passive money streams are a great option, especially for senior citizens, as they allow you to earn big bucks with minimum effort or investment. These big bucks can be, in turn, used to pay off the cost of aged care in Australia.
Passive Income Source Ideas to Pay for Care
Here we’ll discuss a few passive income ideas which require minimum effort and have huge profit potential. These passive sources can generate constant money and help pay off nursing home charges in Australia.
So, these passive income sources cover your aged care charges whether you want to pay a Refundable Accommodation Deposit (RAD) for aged care or a Daily Accommodation Payment (DAP).
1- The Stock Market
The stock market has been around and serving as a good income source for many people since 1792. According to a survey, the number of Australian stock market millionaires surged by 31 percent in 2021. So, it’s crystal clear that the stock market profits are hot right now, and it’s a good investment if you have the right knowledge and some extra cash.
There are millions of opportunities to create a passive income stream in the Australian stock market. Dividend earnings are their most noticeable as they make a great income source. Here is a graph showing dividend cut probability in the stock market.
2- Gold and Other Precious Metals
Investing in the gold market or other precious metals is also an efficient and quick way to make money and create a passive income source. Australia is a central player in the overall gold industry of the world. That’s why import stats of the Australian market have been blossoming over past 3-5 years due to high demand.
Gold doesn’t generate straight passive income like stocks, but it can constantly make you money if you stay active in the market. The following graph by Statista shows the value of gold imports to Australia from 2017 to 2020. It shows how the gold industry in Australia is increasing rapidly.
3- Starting Your Own Business
The last but not the least method is starting your own business and automating it to retire wealthy. As of June 2022, there were around 2,569,900 trading businesses in Australia. Suppose you wish to retire without worrying about the cost of aged care in Australia; starting your own business and making it profitable before retirement is one of your best options.
It is a fact that nursing home charges in Australia are way higher than normal. The top passive income ideas discussed above help you conveniently cover the cost of aged care in Australia. These passive income ideas require minimum effort, so they are perfect for the senior citizens in Australia.