Change ahead – home support!
Big changes are coming to home care from 1 November 2025 when the new Aged Care Act begins.
Now’s the time to learn about your Support at Home changes
Big changes are coming to home care from 1 November 2025 when the new Aged Care Act begins.
If you are currently receiving help through a Home Care Package, it’s important to understand what will change for you, including how your care services are managed and what you might need to contribute from 1 November.
Talk to your care provider, and if you’d like some specialist support, we’re here to help.
What’s changing
On 1 November, everyone receiving a Home Care Package will transfer to the new Support at Home program. What this means for you will depend on your situation and the choices you make, but two key changes you will notice are how the fees work and what happens if you don’t spend your full budget allowance.
New fee structure
The Government will continue to pay a large portion of the cost for your home support but you will be asked to contribute a share of the cost. To determine your contribution, services will be grouped into three categories:
· Clinical care
· Independence support, and
· Everyday living.
The government will fully fund clinical care services, but you will be asked to make a contribution towards the cost of other services. How much you contribute depends on your financial situation - with age pensioners paying less than self-funded retirees.
The new fees are likely to be higher, but if you were receiving a Home Care Package (or held approval for one) on 12 September 2024, you’ll be eligible for grandfathering concessions (and lower rates) to ensure you are “no worse off” under the new rules.
Unspent funds
Another big change is how your spending budget works.
Each quarter you’ll be given an available budget based on your package level. This is made available on a “use it or lose it” basis. If you don’t use all the money in that quarter, you can only carry over up to $1,000 or 10% of your quarterly budget (whichever is greater). The rest of the money is no longer available.
Unspent funds that you have accumulated at 31 October 2025 may remain available to spend on approved services at a future date.
What you should do now
To help you get ready for the changes, all Home Care Package recipients should have received a letter from the Department of Health, Disability and Ageing, explaining whether you are grandfathered and what contribution percentage rates you can expect to pay.
Keep this letter safe. We can help you to understand what it means for your finances and make sure you are set up to manage your costs.
Your contribution rates will be confirmed in a second letter from Services Australia after 1 November. Before 1 November, you should also speak to your care provider to review your care plan and sign a new care agreement based on their new pricing structure.
Need help to understand your options?
Navigating aged care can be complicated – especially with these new changes. That’s why we offer specialist aged care support to help you plan and make informed decisions to manage the financial side of care.
We can help you:
Understand how the changes affect you
Calculate estimates of your contributions
We show how the fees are calculated so you can maximise the contribution the government pays towards the cost of your care.
We help families understand how to stay at home longer by maximising government support and minimising fees.
Aged Care Explained simplifies aged care fees offering straightforward, plain-English explanations without product recommendations—making it more accessible and affordable.
Planning ahead is key, and if you would like help preparing for the changes, we’re here to help.
Contact us at contactus@agedcareexplained.com.au or call us on 0490 697 530. We can help you understand what the changes mean for you and how to make the most of your support.
IMPORTANT INFORMATION: Aged care fees can be complex, and financial advice can be costly. We provide clear, straightforward information to help you make informed decisions and avoid expensive mistakes.
Our approach is to provide information in plain English, to educate and guide families who prefer self-help over comprehensive advice. Our Information Only service explains key calculations, jargon, and cost-saving considerations for In-Home Care and Residential Aged Care.
While every care has been taken, Aged Care Explained 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.
