235The person‑centred subsidy reduction

235  The person‑centred subsidy reduction

 (1) The person‑centred subsidy reduction for an individual for the classification type ongoing for the service group residential care for a day is worked out as follows:

Step 1. Work out the daily means tested amount for the individual for the day (see section 319).

Step 2. Subtract the maximum accommodation supplement amount for the day (see subsection (3)) from the daily means tested amount.

Step 3. If the Step 2 amount does not exceed zero, the person‑centred subsidy reduction is zero.

Step 4. If the Step 2 amount exceeds zero, the person‑centred subsidy reduction is the lesser of the following:

 (a) the Step 2 amount;

 (b) the maximum hotelling supplement amount for the day (see subsection (4)).

 (2) Despite subsection (1), if the individual has means not disclosed status for a day, the person‑centred subsidy reduction for the day is the maximum hotelling supplement amount for that day.

 (3) The maximum accommodation supplement amount for a day is the highest of the amounts prescribed by the rules as the amounts of accommodation supplement payable for funded aged care services delivered in an approved residential care home for that day.

 (4) The maximum hotelling supplement amount for a day is the highest of the amounts prescribed by the rules as the amount of hotelling supplement payable for funded aged care services delivered in an approved residential care home for that day.

 (5) Despite subsection (1), the person‑centred subsidy reduction for an individual for a day is zero if the hotelling contribution and non‑clinical care contribution for the individual for the day is taken to be zero under section 280.