Residents at Hardy View Lodge will feel more of a financial pinch due to an increase to residential care rates by the Ministry of Health.
Based on the cost of living index, there will be an increase of $30 to $80 per month to offset the increased disposable income amount.
According to a press release from the Ministry of Health, it noted that under a revised residential care rate structure, residential care client’s minimum disposable income amount would rise from $275 to $325.
According to Karl Hardt, communication officer for the Interior Health Authority, there was an announcement by the Ministry of Health in December that guaranteed every residential care client is able to keep a certain amount of disposable income.
Due to the increased income, there will also be a slight increase to residential care rates.
“In December, the government announced that the minimum monthly disposable income is going up by $50,” he said. “There is a maximum amount anyone would pay for residential care and if you make a lot more than that, you would keep it.”
In the release, it stated, “Raising the minimum amount will allow low-income seniors to keep the new federal Guaranteed Income Supplement (GIS) increase, which was announced by the federal government in July 2011.”
GIS is a federal program that provides additional money to low-income seniors.
At the moment, clients pay up to 80 per cent of their after-tax income towards room and boarding costs.
From there, clients were left with $275 for personal expenses.
According to a press release from the Ministry of Health, the new residential room rates will range from $932 a month to a maximum of $3,022 – private care rates usually range from $4,000 to $5,000 per month.
The rates took effect Feb. 1.