How AIC Cuts Elderly Care Costs Without Forcing You to Quit Your Job

 

Introduction: The Real Cost Is Not Just Money

The real danger of ageing parents is not the hospital bill.

It’s:

• Burnout

• Career stagnation

• Long-term income loss

AIC focuses on keeping seniors supported at home, while adults stay employed.

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1️⃣ Day Care & Dementia Care (Biggest Saver)

Market vs Subsidised Cost

Item	Market Rate	After Subsidy
Dementia Day Care	$1,200/month	$120/month

📊 Monthly Cost Chart

Market:     $1,200
Subsidised: $120

👉 Annual savings: $12,960

This one subsidy alone:

• Keeps both parents working

• Preserves CPF contributions

• Prevents long-term income loss

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2️⃣ Home Caregiving Grant (HCG) This will be further enhanced in 2026

$250 - $400/month cash, deposited automatically.

Usage	Monthly
Transport	$50 - $150
Diapers & supplies	$80 - $120
Helper support	$120 - $130

👉 Annual cash support: $3000 - $4,800

No receipts. No reimbursement nonsense.

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3️⃣ Mobility & Assistive Devices Subsidy

Item	Normal Cost	After Subsidy
Wheelchair	$800	$80
Walking frame	$300	$30

👉 One-time savings: $990

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Total Annual Impact (Conservative)

Area	Savings
Day care	$12,960
HCG	$4,800
Assistive devices	$990
Total	$18,750/year

That’s real money, not theory.

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Key Takeaway 

If you quit work to care for parents,
you lose far more than what care costs.

AIC exists to prevent that mistake.

AIC Singapore Explained: A Middle-Income Family Survival Guide (lewwenwan.blogspot.com perspective)

 

Introduction: Middle Income, Maximum Pressure

If you are earning a “decent” income in Singapore, chances are you feel the most squeezed.

Too much income for help,
Too little margin for mistakes.

In my household, it’s simple:

• Two working adults

• Two school-going children

• Ageing parents with growing medical needs

Every dollar is already allocated before salary even comes in.

This is where many middle-income families miss out on one crucial support system — Agency for Integrated Care (AIC).

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What Exactly Is AIC (In Plain English)

AIC is the main coordinator for eldercare and long-term care support in Singapore.

Think of AIC as:

“The front door to subsidies, care services, and caregiving support.”

They don’t replace hospitals.
They connect families to affordable care before things spiral out of control.

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Why Middle-Income Families Still Qualify

This is the biggest myth:

“I earn too much. Confirm cannot get anything.”

Wrong.

AIC uses Per Capita Household Income (PCHI).

Example Calculation

Household income: $9,600
Household size: 4 people

PCHI = $2,400

That qualifies for substantial subsidies.

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Key AIC Support You Should Know (Overview Table)

Support	What It Covers	Typical Savings
Long-Term Care Subsidies	Day care, home nursing	$8k–$12k/year
Home Caregiving Grant	Cash payout	$4,800/year
MediSave Care	Monthly cash	$2,400/year

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Example: Day Care Subsidy (Realistic Numbers)

Without AIC subsidy

• Senior day care: $1,000/month

With 80% subsidy

• You pay: $200/month

📊 Simple Cost Comparison (Text Chart)

Without subsidy: $1,000
With subsidy:      $200

👉 Annual savings: $9,600

That’s:

• 1 year of childcare fees, or

• 2 family holidays, or

• A serious buffer against emergencies

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Why This Matters for Families Like Ours

If caregiving becomes unmanaged:

• One spouse cuts working hours

• Income drops permanently

• Retirement plans collapse silently

AIC isn’t “aid”.
It’s financial damage control.

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If you are middle income and caring for parents:

• AIC is relevant

• AIC is necessary

• AIC saves real money

Not knowing costs you more than applying.

For myself i have applied for the AIC which provide a monthly cash for my mum who is disabled for 10+ years. The cost subsidy amounts to $4,200 per year which is about $42k for the 10years. It definitely adds up over the years.