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Retirement village guide · 6 min read

Couples and retirement villages — fees, care needs, and what happens if one partner leaves (2026)

One ingoing contribution, second-person supplements, dual aged care costs, DMF on death of a partner, and the Age Pension couples' assets test — all explained.

Last updated 19 May 2026

Couples and retirement villages — fees, care needs, and what happens if one partner leaves (2026)

Moving into a retirement village as a couple raises questions that single buyers rarely face: Who is named on the contract? What happens to fees if one partner needs a nursing home? Does the deferred management fee clock restart if one of you dies? This guide answers all of those questions with reference to the legislation, current fee structures and real scenarios couples face in 2026.

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Entry costs for couples: one residence, one ingoing contribution

In almost every Australian retirement village, a couple occupying the same villa or apartment pays a single ingoing contribution — because you are purchasing the right to occupy one residence, not two. The contribution buys one occupancy right under whichever tenure model the operator uses (loan-licence, licence or leasehold).

What varies is whether the operator charges a second-person supplement on the weekly service fee. Most villages charge couples a single weekly fee, but a minority add a surcharge of $20–$50 per week for the second occupant to cover additional utility and amenity usage. This must be disclosed in the pre-contractual disclosure statement. Confirm it before signing.

Relevant legislation by state:

Each Act requires a completed disclosure statement before signing: 14 days in NSW (Retirement Villages Act 1999), 21 days in Queensland (Retirement Villages Act 1999), with varying requirements in other states (NSW Fair Trading). An operator who fails to do so risks the contract being voidable.

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Age eligibility when one partner is younger

Most retirement villages require at least one resident to be 65 or older (or 55+ in villages marketed as over-55s communities). A younger partner can almost always co-reside — the age requirement applies to at least one occupant, and the relevant state Acts do not prohibit a younger partner.

Land-lease communities typically require at least one resident to be 50 or older, with age floors varying by individual community. In Victoria, land-lease communities are regulated under the Residential Tenancies Act 1997 Part 4A; in Queensland, under the Manufactured Homes (Residential Parks) Act 2003.

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Weekly service fees: what couples actually pay

The weekly service fee — covering maintenance, management and shared amenities — is set at a single rate for a couple in most villages. As a national benchmark in 2026, couples pay approximately $200–$450 per week in a standard independent living village, rising to $300–$500 per week in premium or serviced apartment settings.

Confirm the following in the disclosure statement before signing:

  • Is there a second-person supplement, and how much is it?
  • Does the fee drop if one partner permanently vacates — moves to aged care?
  • How is the fee reviewed annually, and by what index?

The second question is the one most couples overlook. In most contracts, the fee does not reduce when one partner moves to aged care. The remaining resident continues paying the full couple rate because they still occupy the same sized dwelling.

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What happens when one partner needs residential aged care

If one partner's health deteriorates to the point where they need a residential aged care facility (RACF), the other partner has the right to remain in the village. The village contract is not terminated. The remaining resident becomes the sole named occupant, the contract is amended to reflect that, and they continue paying the weekly service fee — almost always at the full couple rate.

Financially, this creates a dual-cost situation:

  1. The remaining resident continues to pay the full village service fee (the same $200–$450/week as before — fees do not reduce when one partner leaves)
  2. The partner in the RACF pays aged care fees: means-tested Basic Daily Fee (85% of the single Age Pension (Services Australia — Age Pension)), means-tested care contribution, and Accommodation Payment (Refundable Accommodation Deposit or Daily Accommodation Payment under the Aged Care Act 2024)

Both costs run concurrently. Families need to model this carefully before a village is purchased.

On-site care options

A number of operators have co-located or adjacent residential aged care, which can allow couples to remain close:

  • Uniting (NSW/ACT) — integrated campuses spanning independent living, serviced apartments and residential care
  • BaptistCare (NSW/ACT/WA) — co-located aged care on multiple sites
  • Anglicare — full care continuum across NSW, Tasmania and WA campuses
  • Ryman Healthcare — New Zealand-origin operator developing integrated campuses in Victoria, purpose-built for couples ageing through multiple care levels on the same site

When a higher-needs partner transfers to an on-site serviced apartment or care wing, they move onto a separate contract — the original villa contract ends, triggering the DMF calculation for that unit. Take independent financial advice before agreeing to any internal transfer.

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What happens when one partner dies

The surviving spouse has full rights to remain in the village under the original contract. There is no requirement to vacate, downsize or renegotiate terms.

The DMF clock does not restart on the death of one partner. The deferred management fee continues to accrue from the original entry date as if nothing changed. Restarting the clock on the survivor's date of resuming sole occupation would constitute an unfair contract term under the Australian Consumer Law (Schedule 2, Competition and Consumer Act 2010), and regulators have consistently taken that view.

The survivor becomes the sole named resident; the contract is amended administratively. The ingoing contribution is not reduced to a "single" rate — the surviving spouse holds the full unit at the original contribution amount. Exit entitlement is calculated when the survivor eventually leaves.

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DMF and exit entitlement: the couple's lifecycle

The DMF — typically 3–4% of the ingoing contribution per year of occupancy, capped at 25–35% — is calculated on the departure of the last resident.

Where both partners leave in the same period, some contracts specify that the DMF cap is reached earlier or that a different accrual schedule applies. This is contract-specific — there is no national standard. Have your solicitor identify and explain these clauses before you sign.

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Centrelink and the Age Pension: couples' assets test

Centrelink assesses couples' combined assets for the Age Pension assets test under the Social Security Act 1991.

The ingoing contribution is assessed as a "special residence" asset at its net realisable value — broadly, what you would receive back if you vacated today. Because the DMF has been accruing since day one, the net realisable value is substantially lower than what you paid, which can improve Age Pension entitlement.

Rent Assistance (March 2026 rates)

If both members of a couple reside in a retirement village and pay service fees qualifying as "rent" (Services Australia — Rent Assistance payment rates):

  • Couples (combined): up to $199.00 per fortnight

If one partner is in a retirement village and the other is in residential aged care, separate rates apply to each. These figures are indexed to CPI under s.1192 of the Social Security Act 1991 and updated in March and September each year.

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Separation and property settlement

If a couple separates — married or de facto — the village contract will ordinarily need to be varied, with one partner remaining and the other exiting. The departing partner's share of the net exit entitlement (after DMF deduction) is a financial asset that forms part of property settlement proceedings under the Family Law Act 1975. Courts treat the net exit entitlement as a pool asset.

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Questions to ask when visiting a village as a couple

Before signing anything, ask and confirm in writing:

  1. What is the weekly service fee for a couple, and is there a second-person supplement?
  2. What happens to fees if my partner moves to a residential aged care facility — does the fee drop?
  3. Does the village have on-site aged care, or a formal partnership with an aged care provider?
  4. Can my partner transfer to on-site serviced apartments or care without triggering a full DMF settlement?
  5. Can a live-in carer reside with us?
  6. What is the DMF structure if we leave at different times?

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Sources

Frequently asked questions

Do we pay two ingoing contributions as a couple?

No. A couple buys one occupancy right for one residence, so there is a single ingoing contribution. What may vary is a second-person supplement on the weekly service fee — typically $20–$50/week — which must be disclosed in the pre-contractual disclosure statement.

Can a partner who is only 58 move in if I am 67?

Yes, in most cases. The age requirement applies to at least one resident; a younger partner can co-reside. Confirm with the specific operator, as a small number of villages impose minimum ages on all occupants.

If my wife moves to a nursing home, do my weekly fees go down?

Almost always no. The weekly service fee is tied to the dwelling, not the number of occupants. You will continue paying the same fee while also contributing to your wife's residential aged care costs. Fee reduction clauses are rare — ask about them specifically.

Does the DMF restart when my husband dies?

No. The deferred management fee continues from the original entry date without interruption. Restarting the clock on a surviving spouse would constitute an unfair contract term under the Australian Consumer Law and is not permitted.

How does the entry contribution affect our Age Pension?

Centrelink assesses the net realisable value of the entry contribution — not the full amount paid. Because the DMF reduces this value, the assessed asset is usually less than what you paid, which can increase Age Pension entitlement compared with holding equivalent cash.

Can we bring a full-time live-in carer?

Most operators allow a carer to reside on-site, but confirm before signing. Some charge a second-person supplement; others waive it on compassionate grounds. Ask for the policy in writing and check whether by-laws restrict additional residents.

If we separate, what happens to the village contract?

The contract will need to be varied to name a single resident. The departing partner's net exit entitlement (contribution minus DMF) is treated as a financial asset in property settlement proceedings under the Family Law Act 1975. Both partners need independent legal and financial advice.

Which operators offer on-site aged care so we can stay close?

Uniting, BaptistCare, Anglicare and Ryman Healthcare operate integrated campuses where one partner can transfer to a higher-care setting while the other stays in the independent living precinct. Each transfer triggers a separate financial arrangement — take independent advice before agreeing.

Now compare specific villages in your suburb

Apply what you've just read against real villages near you. Weekly fees, accommodation type, amenities, availability — side by side.

Last updated 19 May 2026 · over55s.au editorial. We do not provide financial or legal advice; for definitive entitlement, contact Services Australia or your state retirement village registry.