support at home guide

2026 Australian Aged Care at Home In-Depth Guide (Support at Home)

Based on the latest policies as of January 2026 Covering major reforms implemented on November 1, 2025

Australia's aged care at home system has undergone historic changes. The former "Home Care Packages (HCP)" has been replaced by Support at Home. The new rules are more detailed, and cost calculations are more complex (especially for self-funded contributions).

Below is a comprehensive guide covering everything from application to costs.

1. Core Changes in 2026 Policy (Must Read)

The old HCP had 4 levels. The new Support at Home program now has 8 funding levels (Classifications) and a "three-category" billing system for services.

Key Timeline Changes

Effective Date: The new system officially launched on November 1, 2025
Funding Cap: The highest level (Level 8) provides annual subsidies of approximately $78,000 (a significant increase from the old Level 4's $61,000)
Short-term Support: A new "Restorative Care" pathway has been added, lasting 12-16 weeks, with up to $12,000-$25,000 in short-term intensive rehabilitation funding

Why the Reform?

Problems with the old system:

❌ Too few levels (only 4), many people's needs fell between levels
❌ Long wait times (high levels could take 1-2 years)
❌ Opaque costs (unclear how much government pays vs. self-pay)
❌ Inflexible services (unclear where money goes)

Improvements in the new system:

✅ 8 levels for more precise matching of needs
✅ Reduced wait times (target within 6 months)
✅ Transparent three-category billing (know where every dollar goes)
✅ Single provider model (avoid multiple agencies passing the buck)

2. Eligibility and Detailed Application Steps

If you or a family member is 65 years or older (50 for Indigenous Australians) and have difficulty with bathing, cooking, cleaning, or medical care, follow these steps:

Step 1: Register with My Aged Care

Contact Information:

Phone: 1800 200 422 (24/7 multilingual service)
Website: www.myagedcare.gov.au

Required Documents:

Medicare card (required)
GP referral letter - though not mandatory, strongly recommended to see your GP first
Your GP can upload your health profile to the system, which will speed up the assessment

Registration Tips:

📝 Don't wait for a crisis to register! Even if you don't need it now, register in advance
📝 Describe all difficulties in detail during registration, don't downplay them
📝 If English is not your first language, request interpreter services (free)

Step 2: Undergo Comprehensive Assessment (Single Assessment)

Key Change: In 2026, the new Single Assessment System is used, with assessors using the "Integrated Assessment Tool."

Assessment Content:

Physical function (bathing, dressing, toileting, walking, etc.)
Cognitive ability (memory, judgment, decision-making)
Mental health (depression, anxiety, loneliness)
Home environment (home safety, accessibility features)
Existing support networks (family, friends, community resources)

⚠️ Critical Tip: Don't Downplay Your Difficulties During Assessment!

❌ Wrong Approach:

"I can still bathe, just a bit tired"
"I can cook, occasionally forget to turn off the stove"
"I can walk, though a bit unsteady"

✅ Correct Approach:

"I cannot independently and safely complete bathing, almost slipped last time"
"I often forget to turn off the stove, worried about causing a fire"
"I'm unsteady walking, have already fallen twice"

Why Is This Important? The assessment results directly determine whether you receive Level 1 or Level 8. If the assessor thinks you're "doing okay," you might only get Level 2 (annual subsidy $16,000), but if you clearly describe difficulties, you could receive Level 6 (annual subsidy $48,000).

Step 3: Receive Classification Letter and Budget

After assessment, you'll receive a letter indicating your classification level (Classification 1-8) and quarterly budget.

What to Do After Receiving the Letter:

Check if the level is reasonable (if you think it's too low, you can appeal)
Understand your quarterly budget and annual total
Start selecting a Provider (service provider)
Develop a Care Plan

3. 8 Levels and Subsidy Amounts (2025-2026 Financial Year)

The new system distributes budgets quarterly. Below is the annual conversion reference:

New Level	Applicable Population Characteristics (Reference)	Estimated Annual Subsidy (Government Funding)
Class 1	Occasional cleaning, lawn mowing help needed	Approx. $11,000
Class 2	Regular domestic support needed	Approx. $16,000
Class 3	Domestic + some personal care assistance needed	Approx. $22,000
Class 4	Regular personal care needed (e.g., bathing assistance)	Approx. $30,000
Class 5	Moderate care needs, assistive equipment required	Approx. $40,000
Class 6	Higher comprehensive care needs	Approx. $48,000
Class 7	Close to former HCP Level 4 high needs	Approx. $58,000
Class 8	Extremely high needs (e.g., late-stage dementia, complex medical)	Approx. $78,000

How to Determine Which Level You Might Qualify For?

Level 1-2 (Light Support):

Generally healthy, just lack energy due to age
Can bathe, dress, and eat independently
Need help with housework, lawn maintenance, groceries

Level 3-4 (Moderate Support):

Need help with bathing (assistance, hand towels)
Difficulty cooking (memory decline, safety concerns)
Chronic conditions requiring regular nurse visits

Level 5-6 (Moderate-High Support):

Need assistance dressing, toileting
Multiple chronic conditions (diabetes, heart disease, arthritis)
Need assistive equipment (walker, wheelchair, non-slip mats)
Mild dementia (noticeable memory decline)

Level 7-8 (High Support):

Need help with most daily activities
Moderate-severe dementia (wandering risk, aggressive behavior)
Need professional nursing (wound dressing, catheter, feeding tube)
End-of-life care needs

4. The Most Complex Part: Self-Funded Contributions - How Much Do You Pay?

This is the biggest change in the 2026 new policy. The government no longer provides "lump-sum" funding but determines self-pay ratios (Co-contribution) based on service type and your financial status.

Three Service Categories and Self-Pay Ratios

1. Clinical Care - Completely Free!

Includes:

🩺 Nurse visits for injections/wound dressing
💊 Physiotherapy (Physio)
🦶 Podiatry treatment
🧠 Occupational therapy
💉 Speech therapy
🩹 Wound care

Self-pay Ratio: 0% (Fully government-funded, regardless of wealth)

💡 Strategy: Try to have assessors classify your needs as medical needs!

For Example:

❌ Say "I need someone to help me bathe" (may be classified as Independence, 5-50% self-pay)
✅ Say "I have arthritis, bending is painful, need a nurse to help me bathe safely" (may be classified as Clinical, 0% self-pay)

2. Independence Support - Partial Self-Pay

Includes:

🚿 Bathing, dressing, feeding assistance
🚗 Transportation (to hospital, shopping)
🏠 Minor home modifications (grab bars, non-slip mats)
🦽 Assistive equipment (walker, wheelchair)

Self-pay Ratio:

Full Age Pensioners: Pay 5% of service fees
Self-funded Retirees: Pay 50% of service fees

3. Everyday Living - Highest Self-Pay!

Includes:

🧹 Housecleaning
🌳 Gardening, lawn mowing
🧺 Laundry
🍳 Meal preparation
🛒 Shopping

Self-pay Ratio:

Full Age Pensioners: Pay 17.5% of service fees
Self-funded Retirees: Pay 80% of service fees

💰 Real Case Analysis

Case 1: Friend's Mother's $50K Dilemma

Background:

Mother ill, needs care
Two sons each paid $50,000 AUD out of pocket
Even with government subsidies, could only afford part-time caregivers
Total cost: $100,000+ plus government subsidies

Possible Issues:

Assessment Level Too Low: If only received Level 4-5 (annual subsidy $30,000-$40,000), the gap is too large
Service Classification Error: If most services classified as "Everyday Living" (80% self-pay), massive self-pay burden
Didn't Apply for Hardship: If financially struggling, should apply for Financial Hardship Assistance

How to Optimize (If Redone):

Optimization 1: Fight for Higher Level

During ACAT assessment, describe all medical needs in detail
Emphasize safety risks (falls, wandering, forgetting medication)
Provide detailed doctor's reports
Target: Level 7-8 (annual subsidy $58,000-$78,000)

Optimization 2: Maximize Clinical Care Proportion

Classify "bathing" as "cleaning after wound care" (Clinical, 0% self-pay)
Classify "feeding" as "assistance for swallowing difficulties" (Clinical, 0% self-pay)
Classify "companionship" as "dementia behavior management" (Clinical, 0% self-pay)

Optimization 3: Apply for Financial Hardship

If self-pay exceeds 30% of income, can apply
If approved, government may pay 50-100% of your self-pay portion

Optimization 4: Utilize Restorative Care

If short-term (3-6 months) high-intensity needs (e.g., post-surgery recovery)
Can apply for Restorative Care, 12-16 weeks can receive $12,000-$25,000
This funding is additional, doesn't use regular subsidies

Optimized Possible Outcome:

Government subsidy: $78,000 (Level 8)
Clinical Care (0% self-pay): $50,000 → Self-pay $0
Independence (5% self-pay, assuming Pensioner): $20,000 → Self-pay $1,000
Everyday Living (17.5% self-pay): $8,000 → Self-pay $1,400
Total Self-Pay: Approx. $2,400/year (vs. original $100,000+)

Case 2: Self-Funded Retiree's Cleaning Trap

Background:

Mr. Zhang, 75 years old, self-funded retiree
Received Level 3 subsidy ($22,000/year)
Wants to use subsidy for housecleaning

Cost Calculation:

Cleaning service fee: $100/time, once per week
Annual total cost: $100 × 52 = $5,200
Self-pay Ratio (Everyday Living): 80%
Mr. Zhang's self-pay: $5,200 × 80% = $4,160
Government subsidy: $5,200 × 20% = $1,040

Problem:

Used up most of subsidy ($1,040 / $22,000 = 4.7%)
But Mr. Zhang still has to pay $4,160!

Recommendation: For self-funded individuals, using subsidies for "cleaning" is very cost-ineffective. Should concentrate subsidies on "care" and "medical."

Alternative Solution:

Spend $4,160 directly to hire cleaner (without using subsidy, same result)
Use entire $22,000 subsidy for Clinical Care (e.g., physio, nurse visits), which is 0% self-pay, can receive full $22,000 worth of services

5. Aged Care Financial Preparation and Lifetime Cap

1. How Much Money Do You Need to Prepare?

Full Age Pensioners:

Less pressure, mainly pay small percentages (5%-17.5%)
Estimated annual self-pay: $1,000-$5,000 (depending on domestic service usage)

Part Pensioners/Self-funded Individuals:

Need to prepare more cash flow
If you're at Level 4-8, annual self-pay could be several thousand to tens of thousands of dollars
Estimated annual self-pay: $5,000-$20,000 (depending on service types used)

2. Lifetime Cap

To prevent endless costs, the new Act established a protection mechanism:

Lifetime Self-Pay Cap: Approximately $135,319 (adjusted for inflation)

What Does This Mean? Once your cumulative self-pay for "non-clinical care" (i.e., personal care Independence and domestic Everyday Living) reaches this amount, you no longer need to pay personal contributions, government covers everything.

Important Notes:

✅ This cap is shared between home care and residential aged care
✅ Self-pay amounts at home count towards the cap if you later move to residential care, not wasted
✅ Clinical Care fees don't count towards the cap (since they're already 0% self-pay)

Example:

Ms. Zhang at home for 10 years, cumulative self-pay $80,000
Later enters residential care, additional self-pay $55,319
Reaches cap $135,319
All subsequent non-clinical care costs fully government-funded

3. What If You Can't Afford It? (Hardship)

If paying these self-contributions causes financial hardship (e.g., no cash flow besides house), you can apply for Financial Hardship Assistance.

Application Criteria:

Self-pay exceeds 30% of your income
Or after paying self-contributions, living expenses fall below basic living standards
Or sudden medical expenses, bereavement, or other special circumstances

Application Process:

Submit application to Services Australia
Need to provide financial proof (bank statements, income proof, expense lists)
If approved, government will pay part or all of your self-pay portion

Processing Time:

Usually 4-6 weeks
Emergency cases can be expedited

Success Rate:

If materials complete and genuinely struggling, success rate relatively high (about 70-80%)

6. Practical Advice for Confused Families

For "Existing" HCP Recipients (Approved Before November 2025)

You enjoy "No Worse Off" protection:

✅ If new rules require you to pay more, government provides additional subsidy
✅ Maintains your original self-pay level, no sudden price increases
✅ Your services won't be interrupted
✅ Can continue with existing Provider (if they meet new standards)

For "New" Applicants

Strategy Adjustments:

✅ DO:

When developing Care Plan, request as much Clinical (medical) and Independence (self-care) services as possible
Request less Everyday Living (domestic), as latter has high self-pay ratio (especially for self-funded retirees)
Emphasize medical needs and safety risks during assessment
Prepare detailed GP reports in advance
If financially struggling, immediately apply for Hardship

❌ DON'T:

Don't downplay difficulties during assessment
Don't only say "need cleaning" (will be classified as Everyday Living, 80% self-pay)
Don't wait for crisis to apply (register early with My Aged Care)
Don't hide financial hardship (thinking you'll be rejected, actually Hardship assistance available)

Savings Recommendation: If you're Part Pensioner or Self-funded, reserve approximately $5,000-$10,000 annually in liquid funds for Co-contributions.

If Currently Waiting

Current Wait Times:

Level 1-3: Usually 1-3 months
Level 4-6: Usually 3-6 months
Level 7-8: Possibly 6-12 months (but much improved from before)

What to Do While Waiting:

Apply for CHSP (Commonwealth Home Support Programme) as Transition
- CHSP will continue operating until 2027
- Provides basic domestic and care services
- Lower costs (usually $10-$15 self-pay per hour)
- Doesn't affect your Support at Home application
Apply for Restorative Care (If Applicable)
- If you have short-term high needs (e.g., post-surgery recovery, post-fall rehabilitation)
- Can be approved faster (usually 2-4 weeks)
- 12-16 weeks can receive $12,000-$25,000
Utilize Commonwealth Home Support Programme
- Provides cleaning, gardening, meal delivery and other basic services
- Very low cost (some even free)
- Call 1800 200 422 for inquiries

7. Frequently Asked Questions (FAQ)

Q1: I own property, will it affect my application?

A: Your primary residence (home) doesn't count towards asset testing. But if you have investment properties, they count towards assets and may affect your self-pay ratio (whether classified as Self-funded).

Q2: I'm still working, can I apply?

A: Yes! As long as you're 65+ (50 for Indigenous), and have care needs, you can apply regardless of employment status.

Q3: Can subsidies be used for family members?

A: Yes, but with conditions:

Family members need appropriate qualifications (e.g., care certificate)
Must be reimbursed through Provider (can't give cash directly)
Fees must be "reasonable" (not higher than market rate)

Q4: Can I use multiple Providers simultaneously?

A: New system recommends single Provider model, but if you have special needs (e.g., specific cultural services, language services), you can apply to use multiple Providers.

Q5: If I'm unsatisfied with Provider, can I switch?

A: Yes! You have the right to change Providers. Steps:

Notify current Provider (28 days advance notice)
Contact My Aged Care to select new Provider
Your subsidy transfers to new Provider

Q6: What happens if subsidy is unused?

A: Subsidies are distributed quarterly, unused current quarter rolls over to next quarter. However note:

If unused long-term (over 6 months), may be required to reassess
Accumulated funds cannot be withdrawn as cash, only used for services

Q7: If I'm hospitalized, will subsidy be suspended?

A: Won't be suspended, but:

During hospitalization, you may not use home services
Can request Provider to pause services, money accumulates
After discharge, can use accumulated funds for additional rehabilitation services

8. Resources and Contact Information

24/7 Support Hotlines

Service	Phone	Languages
My Aged Care	1800 200 422	200+ languages including Chinese, English
Services Australia	132 300	Chinese, English
Carer Gateway	1800 422 737	English
Emergency Services	000	English

Useful Websites

My Aged Care: www.myagedcare.gov.au
Services Australia: www.servicesaustralia.gov.au
Aged Care Quality and Safety Commission: www.agedcarequality.gov.au

Free Consultation Services

Financial Information Service (FIS): Free financial advice
National Aged Care Advocacy (NACA): Free advocacy service
Older Persons Advocacy Network (OPAN): 1800 700 600

Summary: 2026 Policy Core

Core Principle: "Medical free, domestic pay more"

Practical Key Points:

During assessment, describe all medical-related needs in detail (e.g., arthritis causing inability to bend, which is a health issue)
Strive to receive more 0% self-pay services (Clinical Care)
If self-funded retiree, avoid using subsidies for domestic services (80% self-pay too expensive)
If financially struggling immediately apply for Hardship, don't tough it out
Register early with My Aged Care, don't wait for crisis

Remember: Support at Home is your right, not charity. Fully understand the rules, maximize government subsidies, reduce family burden!

This guide is compiled based on the latest policies as of January 2026. Policies may change, please refer to official websites. For specific personal circumstances, consult professional financial advisors or call My Aged Care hotline.

Last Updated: January 2026 Next Update: July 2026 (or when policy changes)