The Australian Aged Care System Explained
The aged care system in Australia is designed to support older people who can no longer fully manage independently. It's primarily government-subsidised, though individuals may contribute to costs based on their financial situation. My Aged Care serves as the initial contact point for accessing these services. The system offers various levels of care, from basic home support to 24-hour residential facilities. Upcoming reforms, including the Aged Care Act 2024, will focus on a more person-centred approach from November 1, 2025.
Accessing the System Through My Aged Care
Accessing government-funded aged care begins with contacting My Aged Care to determine eligibility and assess care needs.
The Application and Assessment Process
- Contact My Aged Care: Start by calling or applying online to register.
- Eligibility Check: An initial step to see if a formal assessment is needed.
- Assessment: Based on needs, you'll have either a Home Support Assessment for basic needs or a Comprehensive Assessment (ACAT) for more complex requirements like home care packages or residential care.
The New Single Assessment System (from December 2024)
A new streamlined assessment system begins rolling out on December 9, 2024, maintaining 'home support' and 'comprehensive' assessment types within a simpler process.
Key Types of Aged Care Services
The Australian aged care system provides services tailored to varying needs:
Commonwealth Home Support Programme (CHSP)
This program offers entry-level support for those who need some assistance to stay at home. Services can include meal help, cleaning, transport, social support, and minor home maintenance.
Home Care Packages (HCP) / The new Support at Home Program
For more complex needs, Home Care Packages provide coordinated care. There are four levels with different funding. This will transition to the new Support at Home Program on November 1, 2025, offering services like personal care, clinical care, allied health, and specialised support for conditions like dementia.
Residential Aged Care
Residential care is for those who cannot live safely at home and require 24/7 care in a facility. This includes permanent care with accommodation and support, and short-term respite care. Funding is based on the Australian National Aged Care Classification (ANACC) model, which assesses resident needs.
Comparison of In-Home and Residential Aged Care
| Feature | In-Home Care (CHSP/Support at Home) | Residential Aged Care |
|---|---|---|
| Service Location | The person's own home | A dedicated aged care facility |
| Care Level | Entry-level (CHSP) to complex (Support at Home), depending on assessed need | High-level, 24/7 care for those who can no longer live safely at home |
| Care Funding | Government-subsidised, with means-tested fees based on income | Government subsidies with contributions for basic daily fees, means-tested care fees, and potentially accommodation costs |
| Service Delivery | A package of coordinated services provided by external providers | A comprehensive suite of accommodation and care services provided within the facility |
| Accommodation Costs | Not applicable; services delivered at home | Means-tested costs, with financial hardship assistance available for those who need it |
| Regulatory Model | Monitored by the Aged Care Quality and Safety Commission | Regulated and monitored by the Aged Care Quality and Safety Commission |
Funding and Contributions
The government provides significant subsidies for aged care, but individuals contribute based on their financial capacity, determined by a means assessment by Services Australia. New funding models will be introduced from November 1, 2025, under the Support at Home program and for non-clinical residential care, with protections for existing care recipients.
Upcoming Reforms Under the New Aged Care Act
Stemming from the Royal Commission's recommendations, the Aged Care Act 2024, effective November 1, 2025, will bring significant changes. Key reforms include a rights-based framework with a new Statement of Rights, a simplified assessment process, increased provider transparency, enhanced protections for older people, and the introduction of the Support at Home Program.
Conclusion
The Australian aged care system offers vital support for older people through various home-based and residential services. Access is managed through My Aged Care and requires an assessment to determine appropriate care levels. While government-subsidised, contributions are based on means assessment. Upcoming reforms via the Aged Care Act 2024 aim to improve access, transparency, and prioritise the rights of older Australians. For further details and options, consult the My Aged Care website.
