Navigating the Support at Home Program
The Australian Government is replacing the current system of home-care support with the “Support at Home” program, which came into effect 1st November 2025.
The new model is intended to simplify the process, have more tailored care services and create more personalised budgets. However, for some there are the concerns for making the co-payments for some services which can range to up to 80% of costs.
In this article, I will explain what is changing, what it means for new applicants, and my tips for new applicants when registering with My Aged Care for your assessment.
What are the current arrangement?
Before I explain what is changing, just a brief overview of the previous models. If you have been receiving or approved for home care services and support from the Government, most would qualify under one of two systems: The Commonwealth Home Support Program (CHSP for short) or Home Care Packages.
With CHSP, it was fairly simple to qualify and under routine assessment, with the Government picking up most of the costs for the home services… CHSP will gradually be phased out over the next couple of years, and not changing from 1st November 2025.
The Home Care Packages program, however, has been replaced from 1st November 2025. Under this model, the Government would release the care packages, based on 4 unique levels of care. Level 1 care being the basic care level of care, up to level 4 which was the highest level of care.
Each package would provide a set amount of money, allocated as an annual budget, with the selected care providers using this money, on an individual’s behalf, to organise services to help them live comfortably and independently at home. There were basic daily costs and income tested fees, but no co-payments as per the new system.
What we know about the old programs is that they were quite generous in the financial support from the Government, compared to the new model.
What exactly is Support at Home?
Over the next 20 years, the number of people in Australia aged over 65 is expected to double. With older people wanting to stay at home as long possible, there was a need for reform to bring these programs together and to improve the delivery of a variety of services and home modifications to all Australians, while of course trying to make it equitable and affordable for the Government.
The “Support at Home” program replaces the existing programs, and allows for the transitioning of those receiving a Home Care Package with an equivalent funding level to their previous package, so they will not be in a worse position and won’t be required to pay more.
Under the new rules, there are now 8 classifications for Support at Home recipients, which is up from 4, and determined by the level of care required. Level 1 for light domestic assistance, all the way up to level 8 for the complex health care needs.
Budgets are allocated quarterly, and any unused amounts up to $1,000 or 10% can be rolled to the next quarter, whichever is greater.
Other types of tailored models can include the Restorative Care Pathway, End-of-Life Pathway and Assistive Technology & Home Modifications.
What do you pay?
The quarterly budgets allocated for each classification will require some level of co-payment from the recipient, based on the means testing of their assets and income.
For clinical care, like nursing and physio, there is no out of pocket, with the Government covering these costs.
For non-clinical, there is a co-payment for these service. For example, for home care assistance with personal care, showering, help with medication, the co-payment can range from 5-50% of the service costs. However, for cooking, cleaning, gardening and laundry service, the co-payment can range from 17.5 – 80%.
So the main difference is that there may be a wider range of home care service available for Government funding support, however, there is the introduction of co-payments.
Providers set prices for services, so it’s helpful to compare before choosing your provider. Having all the information upfront can help you make the right choice for your care needs and financial situation.
The My Aged Care website offers a Home Fee estimator which can be helpful.
When will I get my funding?
From the initial contact with My Aged Care, there may be a wait of 2-6 weeks before an assessor contacts you. From that time, another 2-6 weeks passes before you will receive an outcome letter. Wait times depend on location, demand and the complexity of your care needs.
Upon receiving an approval outcome letter, there is another expected wait time until funding becomes available. The estimated wait times for ongoing funding as at November 2025 are shown here. So in the case of standard priority a 10-11 month wait, and over 12 months form the initial contact with My Aged Care.
So when contemplating your plan to stay at home and what support you may be entitled to, consider the wait times, your declining health and how would you cope if your family members were not around to support you at home. Importantly, before contacting My Aged Care for assessment, make a list of what daily functions you may need help with around the home. Further, you should be able to describe what you struggle with and what your ‘worst’ day might look like when you need some support.
Financial Planning support
As financial planners, we support our clients in retirement to manage their income and expenses, and in the case of home care support, the assessment for expected co-payments.
With any Aged Care advice, it’s important that you plan your finances to live comfortably in retirement but also allow for any changes to your care needs and living arrangements.
Having completed my accreditation as a Retirement Living & Aged Care Specialist, I understand the need to tailor a financial strategy to manage co-payments, preserve assets and optimise the Age Pension.
My top 5 key takeaway points for new applicants of Support at Home:
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- Assessment – Be prepared for your first contact with My Aged Care. Understand wait the likely costs and how your finances are assessed.
- Wait times – Plan ahead for an extended period of waiting for an outcome and funding if successful.
- Provider review – Compare providers, get service price lists, understand your rights.
- Documentation & legal – Ensure power of attorney, advanced care directives, estate plan are up to date.
- Communication – Discuss with relevant family members and any carers to make sure everyone understands the service plan, budget, contribution schedule.
Shaun Jones MAppFin (FP)
Financial Planner at About Retirement
