Maximum contribution questions and answers

What does the term ‘maximum contribution’ mean?

Under the Social Security Act 1964, the term ‘maximum contribution’ is defined as the maximum weekly amount (GST inclusive) that any resident assessed as requiring care may be required to pay for contracted residential-care services provided in that region.

The maximum contribution sets the amount that people assessed as requiring long-term residential care and residing in district health board (DHB) contracted facilities have to pay per week for the basic package of care services (contracted care services), regardless of what type of care (rest home, dementia or hospital) they receive.

People can choose to pay extra fees for services that are additional to those covered by the Age Related Residential Care Contract (contracted care services).

For more information, go to Residential care questions and answers or read the booklet Long-term Residential Care for Older People: What you need to know.

What do I need to know about the maximum contribution?

The maximum contribution is set by the Director-General of Health through a notice in the New Zealand Gazette under the Social Security Act 1964 and varies between Territorial Local Authority regions.

Increases to the maximum contribution reflect the increased contract price for rest home care nationally agreed between DHBs and residential-care providers for each financial year. All residents are notified of the effect of the change in the maximum contribution by 1 July each year. See the Maximum contribution page for the latest Gazette Notice.

Information on the maximum contribution for each region (Territorial Local Authority regions in each DHB) is also available from Needs Assessment Service Coordination agencies, residential care providers, Work and Income, the Residential Subsidy Unit of the Ministry of Social Development (free phone 0800 999 727) or through our Information Line on 0800 725 463.

For general queries about the maximum contribution, contact the Health of Older People Team.

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