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This paper draws upon findings from a secondary analysis of suspected financial abuse cases in files of the Guardianship and Administration Tribunal in Queensland, Australia. The paper explores the association between formal and semi‐formal asset management arrangements and suspected financial abuse cases. The role of families as formal asset managers is also considered.

Responding to suspected financial abuse in residential aged care provides particular challenges to care managers. This paper aims to explore responses to financial abuse by care managers and the knowledge, policies and principles that guide practice in this context.

The research is part of a larger project exploring financial asset management and financial abuse in residential aged care in Australia. The thematic analysis reports on responses of care managers in 62 aged care facilities to survey interview questions and case scenarios presenting issues of alleged financial abuse.

Although most care managers accepted an obligation to act in response to suspected financial abuse, inconsistency and a lack of familiarity with policy are clearly demonstrated. Practice responses vary according to whether the primary focus is on residents, family or managing risk. Despite most reporting policies in place in the event of alleged theft, reports on the use of policies and protocols to guide responses to suspected misuse of an enduring power of attorney or undue influence are limited. The care manager's knowledge and approach to practice are crucial to framing the response.

The research provides insight into inconsistencies in responses to financial abuse in residential aged care, identifies good practice and outlines the limitations in knowledge of some care managers. It argues for the need to enhance understanding, support and training to further develop practice in this setting, particularly in relation to adult protection principles.