Financial Hardship Review for Long-Term Care Charges in Saskatchewan

When the Standard Formula Doesn't Work

Saskatchewan's income-tested resident charge for special-care homes is calculated mechanically: the Ministry of Health takes your parent's Line 15000 income, divides by 12, and runs it through a formula that produces a monthly charge between $1,377 and $3,428. For most families, the formula produces a reasonable result that reflects the resident's ability to pay.

But the formula looks backward — it uses last year's tax return. When a resident's financial circumstances change sharply between the tax year and the current billing period, the standard charge can be wildly out of proportion to what the person can actually afford.

This is what the financial hardship review process exists to address.

Situations That Warrant a Hardship Review

The most common triggers are sudden income drops that won't show up on Line 15000 until the next tax cycle:

• Death of a spouse — the surviving resident loses the spouse's CPP, OAS, or private pension income, but their resident charge is still based on the combined-income tax return from the prior year
• Loss of a pension or annuity — a defined-benefit pension that stops paying, a workplace annuity that expires, or an investment income source that dries up
• Transition from SAID or social assistance — when a SAID recipient enters care, their benefits are adjusted for institutional living, but the prior year's tax return may reflect a different income picture
• Divorce or separation finalized after the tax year — the income-splitting assumptions in the formula no longer apply, but the CRA data hasn't caught up

The common thread is a mismatch between last year's income data and this year's reality.

How to Request a Review

The financial review is requested through the Ministry of Health's Income Assessment Operations Unit. Submit a written request explaining the circumstances, accompanied by documentation, and confirm whether the Unit requires a current form.

Contact: Income Assessment Operations Unit, 1-800-667-4884

What to include in the request:

1. The resident's full name, date of birth, and facility name
2. A clear statement of what changed — the income event, when it happened, and the financial impact
3. Supporting documentation:
   • Death certificate (if spouse passed away)
   • Letter from the pension administrator confirming benefit cessation
   • Updated bank statements showing current monthly income
   • SAID benefit adjustment letter from the Ministry of Social Services
   • Medical receipts for catastrophic expenses
4. A calculation showing the resident's current actual monthly income versus the current resident charge, and how much (if any) remains for personal expenses after the charge is paid

The request can be submitted by the resident, their family member, or their legally designated representative under a Power of Attorney. If a POA is acting on behalf of the resident, include a copy of the POA document.

What to Ask About in a Financial Review

The Income Assessment Operations Unit reviews the submission and supporting evidence. When you submit the request, ask:

• Whether the resident charge can be recalculated using current income rather than the prior year's Line 15000
• Whether any adjustment would be temporary or continue until the next annual reassessment
• Whether an approved adjustment could apply from the date of the request

The outcome depends on the Unit's review. Do not assume the charge has changed until the Ministry confirms the result.

Don't Wait for the Annual September Cycle

The standard reassessment happens once a year: residents (or their representatives) submit updated CRA income data by September, and the Ministry recalculates the charge for the next benefit year. If a hardship event happens in October, the family is looking at 11 months before the annual cycle catches up.

The financial review exists precisely for this gap. Families should submit a request as soon as the income change occurs — not wait to see if the annual cycle fixes it — and ask the Unit how it handles a mid-year change.

One additional tool: if the resident's financial situation has been consistently tight since admission, review whether the Seniors Income Plan personal comfort supplement ($50/month for special-care home residents) and the Seniors' Drug Plan ($25/prescription cap) are both active. Some families in hardship never enrolled in these programs, and the support can help with personal costs.

The Saskatchewan Long-Term Care Costs & Subsidies Guide covers the hardship review process alongside the standard income assessment, with templates for the written request and a document checklist — so families can file a complete submission on the first attempt rather than going back and forth with the Ministry.

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