Nova Scotia Long-Term Care Financial Assessment: Step-by-Step Process

Who Handles the Assessment

The financial assessment for long-term care in Nova Scotia is managed by the Eligibility Review Unit (ERU), a division within the Department of Seniors and Long-Term Care. The ERU is separate from the clinical intake system — Continuing Care handles the medical assessment and waitlist placement, while the ERU determines what the resident pays.

Once the clinical assessment and placement process is underway, the family is given a choice: pay the full Standard Accommodation Charge ($114.00 per day for nursing homes) or submit a financial application to the ERU for a reduced rate. If the family does not submit the application, the facility bills the standard rate by default.

Step-by-Step Process

Step 1: Complete the Financial Application. Request the "Long-Term Care Facility Financial Application" from the facility or download it from the Department of Seniors and Long-Term Care. The form asks for the resident's income details, marital status, and dependants.

Step 2: Gather Tax Documents. You need the resident's most recent CRA Notice of Assessment. If the resident has a spouse, include the spouse's Notice of Assessment as well. Also prepare a signed CRA "Consent to Release Taxpayer Information" form — this authorizes the ERU to verify income directly with the CRA.

Step 3: Include Proof of Authority. If you are managing the application on your parent's behalf, include a copy of the active Enduring Power of Attorney. The ERU will not discuss the file with anyone other than the resident or the authorized POA holder.

Step 4: Submit to the ERU. Send the complete package to the ERU. Processing takes approximately eight weeks. During this waiting period, the facility will bill the standard accommodation charge. Once the ERU issues its rate determination, any overpayment is credited against future charges.

Step 5: Receive the Rate Determination Letter. The ERU mails a letter stating the approved daily rate. If the family disagrees with the assessment, they have 30 days to request a formal administrative review.

The Formula the ERU Uses

The ERU calculates the resident's "Assessed Income" using two lines from the CRA Notice of Assessment:

Assessed Income = Line 23600 (Net Income) minus Line 43500 (Total Taxes Owed)

The resident is guaranteed to retain the greater of $366 per month (the Minimum Retained Income) or 15% of their total assessed income. The remaining portion becomes the daily accommodation charge, capped at $114.00 per day.

The assessment is strictly income-based. Nova Scotia does not examine assets — no savings accounts, no investment portfolios, no real estate. The family home is completely excluded from the calculation.

Common Mistakes That Delay the Process

The most frequent delay is submitting an incomplete application — missing the spousal income documentation, forgetting the CRA consent form, or providing an outdated Notice of Assessment. Each gap triggers a follow-up request from the ERU, adding weeks to the timeline.

The second most costly mistake is failing to file the resident's income tax return. The ERU cannot calculate the rate without current tax data. If the resident's return is not filed, the ERU defaults to the maximum rate until the data arrives. This is not retroactively adjusted — the overpayment is only credited once the ERU issues its formal determination.

Annual Reassessment

The rate is reassessed every year. The ERU uses the resident's most recent tax return, and the deadline to submit verified income data is June 30. Missing the deadline resets the rate to the standard charge.

The Nova Scotia Long-Term Care Costs and Subsidies Guide includes a complete document checklist, two worked income-calculation examples, and the spousal income protection steps that reduce the resident's assessed income when a spouse remains in the community.

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