What is a room premium?

Understanding room premiums, what they cover and when they apply.


At a glance

Who this is for
Anyone considering moving into a residential aged care home.

Good to know
Room premiums are only charged on premium rooms that offer additional features or amenities beyond the standard room funded through the Government contract.

Who sets the rules?
Standard room prices are set by Health New Zealand, anything over and above this are set by the provider.


What is a room premium?

A room premium is an additional daily charge that may apply if you choose a room with features or amenities that go beyond the standard accommodation funded under the Government’s aged care agreement.

Not every room has a premium. Standard rooms are available without an additional room premium, while premium rooms offer extra comfort, convenience or features that some residents prefer.

At Alden, we’ll always explain which rooms have a premium, what the additional cost is, and what extra features you’re paying for before you make your decision.


Why do some rooms have a room premium?

Some rooms offer features that aren’t included as part of the Government-funded standard room.

Depending on the home, these may include:

  • A larger bedroom.
  • A private ensuite.
  • Better views or outdoor access.
  • A larger living space.
  • More modern fittings or décor.
  • Air conditioning or other additional comforts.

These extra features are optional. If you choose a standard room, you won’t be charged a room premium.


Do I have to pay a room premium?

Only if you choose a premium room.

If a premium room is available and you’d like the additional features, the room premium is charged in addition to your standard care fees.

If you’d prefer a standard room, our team will discuss the available options with you.


Does the Residential Care Subsidy cover room premiums?

No.

The Residential Care Subsidy helps pay for your contracted care costs if you’re eligible, but it doesn’t cover optional room premiums.

If you choose a premium room, you’ll generally need to pay the room premium yourself.

Our team will explain any additional costs before you move in, so you know exactly what to expect.


How do I choose the right room?

Every person’s priorities are different.

Some residents are happy with a comfortable standard room, while others value additional privacy, space or features.

When choosing a room, it’s worth considering:

  • Your personal preferences.
  • Your budget.
  • The rooms currently available.
  • Which features are most important to you.

Our team can show you the available rooms and help you compare your options before making a decision.


Here for you

We’re here to help you understand your options, explain any costs clearly and make sure you have all the information you need to make a confident decision—without any surprises.

Find your nearest Alden Care Home


What happens next?

If you’re ready to explore your options:

1. Visit an Alden Care Home
See the different room types available and ask any questions you may have.

2. Compare your options
We’ll explain the features of each room, including whether a room premium applies.

3. Choose the room that’s right for you
We’ll work with you to find the best available option based on your needs and preferences.

4. Complete your admission paperwork
Once you’ve chosen your room, we’ll guide you through the remaining steps before moving in.


Questions families often ask us

Can I move from a standard room to a premium room later?

It may be possible, depending on availability. If your needs or preferences change, speak with the Care Home Manager to discuss your options.

Are all premium rooms the same?

No. Premium rooms can vary between care homes. The additional features and daily premium will be explained before you make your decision.

Will choosing a premium room affect the care I receive?

No. Every resident receives the same high standard of clinical care and support. A room premium relates only to the additional accommodation features of the room—not the quality of care provided.


Feature Standard Room Premium Room
Government-contracted accommodation
High-quality care and support
Meals and daily services
Additional room features
Room premium applies No Yes