The new Aged Care Act has officially begun, and with it comes major changes to home care as part of the Support at Home program.

If you currently receive support through a Home Care Package, it’s important to understand what these changes mean for you—particularly around how your services will be delivered and what your ongoing costs may look like.

If you’re unsure or would like personalised guidance, we’re here to help.

What’s Changing

From 1 November 2025, everyone receiving a Home Care Package has started transitioning to the new Support at Home Program. How this affects you will depend on your personal circumstances and the options you choose; however, two major updates will apply to all care recipients.

A New Fee Structure

The government will continue to fund most of your home support, but you’ll now be asked to contribute toward some of your services. Services are grouped into three categories:

• Clinical care
• Independence support
• Everyday living

Clinical care will remain fully funded by the government.
For the other service categories, your contribution will depend on your financial situation, with full age pensioners paying less than self-funded retirees.

While many people will see higher fees, there is important protection in place:
If you were receiving—or approved for—a Home Care Package on 12 September 2024, you qualify for grandfathering concessions. This helps ensure you are no worse off under the new pricing model.

Changes to Unspent Funds

Your funding is now allocated quarterly under a “use it or lose it” model.

• You’ll receive a quarterly budget based on your package level.
• If you don’t use it all, you may carry over only the greater of $1,000 or 10% of that quarter’s budget.
• Any remaining amount expires and cannot be used later.

Any unspent Home Care Package funds accumulated before 31 October 2025 may still be available for approved services in the future.

What You Should Do Now

By now, all Home Care Package recipients should have received a letter from the Department of Health, Disability and Ageing explaining whether you qualify for grandfathering and outlining your contribution percentage rates.

Keep this letter safe and share a copy with your financial adviser—they can help you understand what the changes mean for your budget and cashflow.

You will also receive a second letter from Services Australia confirming your final contribution rates.

If you haven’t already, you should also:

• Review your care plan with your provider
• Sign your updated care agreement under their new pricing structure

If you have questions or would like help understanding what these new rules mean for you, speak with your adviser—or get in touch with us at 1300 885 025. We’re here to help you navigate the changes and make the most of your home support.

IMPORTANT INFORMATION: This document has been prepared by Aged Care Steps Pty Limited, ABN 42 156 656 843 AFSL 486723, based on our understanding of the relevant legislation at the time of writing. While every care has been taken, Aged Care Steps Pty Limited makes no representations as to the accuracy or completeness of the contents. The information is of a general nature only and has been prepared without consideration of your individual objectives, financial situation or needs. Before making any decisions, you should consider the appropriateness for your personal investment objectives, financial situation or individual needs. We recommend you see a financial adviser, registered tax agent or legal adviser before making any decisions based on this information. Current as at 14 October 2025.