Population B + C · Inside the system

Red Flags in a Support at Home Service Agreement

In short: Your service agreement is the legal document that governs everything your provider does — what they deliver, what you pay, and what your rights are if something goes wrong. You have up to 90 days to sign it, and your services continue in the meantime. You do not need to sign immediately. Under the Aged Care Rules 2025, no provider can charge an exit fee, lock you in, or charge more than 10% of your quarterly budget in care management fees. This guide explains what to look for, what to refuse, and what to do if something is already wrong.

By Steve Hadfield, AgedCareActionPlan.au · Last updated: 27 May 2026

What Is a Service Agreement?

Your service agreement is the document your provider sends you before services begin. It sets out exactly what they will deliver, what you will pay, and what happens if something goes wrong. Once signed, it is a legal contract — which is why reading it before you sign matters.

Most families sign without reading it. The provider hands it over, it looks official, care is needed now, and the document goes in a drawer. This is understandable. It is also the reason so many families end up surprised by fees, uncertain of their rights, or unsure whether what is happening is what they actually agreed to.

The good news: you don't have to sign it on the spot. Under the Aged Care Act 2024, your provider is legally required to give you enough time, information and support to make an informed decision. If a provider is rushing you, that pressure is itself a red flag — and it tells you something important about how they will operate once services begin.


You Have Time — Your Services Won't Stop

You have up to 90 days to sign your service agreement after receiving your confirmed contribution rate from Services Australia. Your services continue during this entire period. Your provider cannot cancel your services because you have not yet signed.

Taking time to read this guide, ask questions, and get clauses corrected will not delay your parent's care. That is a right the Aged Care Act 2024 explicitly protects.

A note on asking questions

Many older people feel they can't push back on a provider — they worry about seeming difficult, or that the provider will deprioritise them if they ask too many questions. Asking questions before you sign is not being difficult. It is your legal right. A good provider will welcome it. A provider who doesn't is showing you who they are.


Already signed and something seems wrong?

Skip to the What to do if you've already signed section below. You have options — including free advocacy through OPAN on 1800 700 600.


Warning Signs Before You Even Read the Document

The way a provider handles the agreement tells you as much as the agreement itself. These process signals apply the moment the provider gets in touch — before you have had a chance to read a single clause.

They're pressuring you to sign the same day

Urgency language — "we need this back today", "your services could be delayed otherwise", "we just need a signature to get started" — is a tactic. It is not how a compliant provider operates. Your provider is legally required to give you time. A provider who ignores that obligation before you've even started is showing you how they'll handle disputes once you are locked in.

They won't send the agreement in advance

You are entitled to receive the agreement before any signing meeting — with enough time to read it and ask questions. If the provider only produces it at the meeting and expects you to sign without time to review it, that is not an oversight. Ask for it to be sent to you at least a few days ahead. If they refuse, consider whether this is the right provider.

They can't explain a clause you've asked about

Under the Aged Care Rules 2025, service agreements must be written in plain language that is readily understandable. If your provider cannot explain a clause in plain English — or their explanation contradicts what's written — do not sign until it is resolved in writing. "That's just standard wording" is not an explanation.

The document is long, dense, and full of legal language

A compliant Support at Home service agreement is not a 30-page legal document. The Aged Care Rules 2025 require plain language. If the document you've received requires a lawyer to interpret, ask the provider for a plain-English version. If one doesn't exist, that is a compliance issue — and a reliable signal about the provider's culture.


Stop — Don't Sign If You See These

The following clauses are either prohibited under Support at Home or directly breach the Aged Care Rules 2025. Do not sign an agreement that contains any of them. Ask the provider to remove the clause and send a corrected version.

Any exit fee

Exit fees are prohibited under Support at Home — regardless of what they are called. If the agreement includes a fee for leaving, an "early termination fee," a "transition charge," or any similar description of a cost you would incur by switching providers, that clause is unlawful. Do not sign. Ask for it to be removed before you proceed.

Care management fee above 10%

Under the Aged Care Rules 2025, care management is capped at 10% of your quarterly budget. The remaining 90% must go toward your actual care and services. If the agreement specifies a higher percentage — or uses language like "care coordination fee," "administration fee," or "case management fee" to describe charges that sit outside the 10% — ask the provider to clarify in writing exactly what the total fee is as a percentage of your quarterly budget. If it exceeds 10%, do not sign.

To understand how your quarterly budget works and what it covers, see Support at Home vs Home Care Packages — What Changed.

A lock-in period or minimum service term

There is no lawful mechanism for a Support at Home provider to lock you in. You have the right to switch providers at any time. Any clause specifying a minimum period of service — or a penalty for leaving before a set date — conflicts with your rights. Ask for it to be removed.

Agreement not written in plain language

Section 148-65 of the Aged Care Rules 2025 requires service agreements to be written in plain language that is readily understandable. A document your family cannot understand without legal help is not meeting this standard. You are entitled to a plain-English version. Ask for one.

No complaint or feedback process

Every service agreement must include a complaint and feedback mechanism. Its absence is a compliance failure. It also matters practically — this process is your first formal avenue if services don't go as agreed. If there is no complaints process in the document, ask the provider to add one before you sign.

No mention of your Statement of Rights

Under the Aged Care Act 2024, every provider is legally required to explain your rights under the Statement of Rights and reference it in your service agreement. The Statement of Rights replaced the Charter of Aged Care Rights when the new Act commenced. Its absence from the agreement is a compliance failure.


Slow Down — Ask About These Before You Sign

The following aren't automatic reasons to walk away — but they are clauses worth scrutinising carefully and getting answered in writing before you sign.

Vague service schedule

Your agreement should name each service specifically — the type of service, how often it will be delivered, and approximately when. A schedule that says "services as agreed from time to time" gives the provider latitude to deliver less than you expect without technically breaching the agreement.

Ask for the service schedule to name each service, its frequency, and approximate timing. If the provider says this will be "worked out once services start" — get whatever is agreed in that conversation added to the agreement as a written variation.

Price increase clauses without a notice period

Providers are permitted to change prices under Support at Home. What to check: does the agreement specify how much notice you'll receive before a price increase takes effect? An agreement that allows price changes without notice — or with only a few days' notice — means your costs can change with almost no warning. Ask the provider what their notice period is for price changes and ask for it to be written into the agreement.

Cancellation fees that apply regardless of notice

Providers can legitimately charge for services cancelled with very short notice — typically less than 24 or 48 hours. This is standard. What to watch for: any cancellation fee that applies regardless of how much notice you gave, or fees that apply when the provider cancels rather than when you do. You should not be charged for a service the provider failed to deliver.

Contribution rate showing "TBC"

If Services Australia hasn't yet confirmed your individual contribution rate, the agreement may show "TBC" (to be confirmed). This is acceptable. What the agreement should also include is the process: that Services Australia will write to you with your confirmed rate, that you will be given the updated rate before it is applied, and how to raise any concerns. If the agreement is silent on this process, ask the provider to add the explanation before you sign.

No care plan review schedule

Under the Aged Care Rules 2025, your care plan must be reviewed at least once every 12 months, or whenever you request a review. Your service agreement should reflect this. If the agreement either omits care plan reviews or sets an interval longer than 12 months, ask the provider to correct it.

No worker consistency commitment

Your agreement doesn't have to guarantee the same worker every visit. But a good provider will include a commitment to consistent staffing wherever possible. An agreement with no reference to staffing continuity is often a sign of a provider who rotates workers frequently. Ask the provider what their policy is — and if they're confident in it, ask for it to be reflected in the agreement.


What a Good Clause Looks Like

If you've never seen a service agreement before, it helps to know what a compliant clause actually looks like — not just what's wrong.

Example — compliant care management clause

"Care management is charged at 10% of your quarterly Support at Home budget. For a Classification 3 participant, this is approximately $549 per quarter. This fee covers your monthly care partner contact, care plan development and review, and coordination of your services. No additional administration or coordination fees apply."

What makes this compliant: the percentage is named, it stays within the 10% cap, the quarterly dollar amount is shown, what the fee covers is described, and the clause explicitly rules out additional fees. If your agreement's care management clause doesn't include these elements, ask the provider to provide this level of detail.

Example — compliant exit clause

"You may end this agreement at any time by giving 14 days' written notice. No exit fee or administration charge applies. Your final invoice will cover only services delivered up to your exit date."

What makes this compliant: no exit fee, notice period is specified, and the final invoice scope is clear. If your exit clause says anything materially different from this — particularly if it includes a fee or a minimum service period — do not sign.


What You Should Be Able to Find in the Agreement

Before you sign, work through this checklist. Each item should be present and written in language you can understand. If anything is missing, ask the provider to add it.

A plain-language description of each service to be deliveredNamed specifically — not 'services as required'
The price of each serviceIn dollars, not just percentages
Your individual contribution rateOr an explanation of the TBC process if not yet confirmed
The care management feeAs a percentage of your quarterly budget — must be 10% or less
How and when your care plan will be reviewedMust be at least annually, or on your request
The complaint and feedback processIncluding who to contact and how
Your rights under the Statement of RightsReferenced or attached
How to end the agreementNotice period, no exit fee, no lock-in
How unspent funds are handledWhat happens to your remaining quarterly balance

Before You Sign — Three Things to Do Right Now

If the full checklist feels like a lot, start here. These three checks catch the most common problems and take less than five minutes.

1 — Check the fee section

Find the care management fee. It must be 10% or less of your quarterly budget. If it is higher — or if fees are described using different language like "coordination fee" or "administration fee" — ask the provider to clarify in writing before you sign.

2 — Check the exit clause

Find the section about ending the agreement. There should be no exit fee, no administration charge for leaving, and no minimum service period. If any of these appear, do not sign until they are removed.

3 — Check the service schedule

Find the list of services. Each service should be named specifically — the type of service, how often, and approximately when. A schedule that says "services as agreed from time to time" is not specific enough. Ask for it to be updated before you sign.


What to Do If You've Already Signed

Finding a problem after signing is more common than it should be. It is not irreversible.

If the agreement contains a prohibited clause

Write to the provider (email is fine) and name the specific clause you believe is unlawful. Ask them to confirm in writing that it will not be enforced, or to provide a corrected agreement.
Contact OPAN for free, independent advocacy: 1800 700 600, opan.org.au. OPAN can advise whether the clause is lawful and advocate with the provider on your behalf.
If the provider refuses to engage — or attempts to enforce a prohibited clause such as an exit fee — lodge a complaint with the Aged Care Quality and Safety Commission at agedcarequality.gov.au or on 1800 951 822.

If services aren't being delivered as the agreement describes

A service agreement that isn't being followed is a contract breach. Start by raising it in writing with the provider. If that doesn't resolve it, the escalation guide walks through the full process — written complaints, OPAN advocacy, and ACQSC referral step by step.

If the provider has charged an exit fee you've already paid

Contact OPAN on 1800 700 600. The ACQSC now has explicit power to investigate overcharging and order refunds. Lodge a complaint at agedcarequality.gov.au or on 1800 951 822. Keep all records — your original agreement, any invoices, and all written communication with the provider.


If the Agreement Is a Sign of a Bigger Problem

Sometimes reviewing an agreement confirms what you already suspected — the provider isn't the right fit. A bad agreement is often a symptom, not a cause.

If you're thinking about switching, the process is more straightforward than most families expect. See How to Switch Your Support at Home Provider for the step-by-step, including what happens to your funding and how to switch without a service gap. For guidance on choosing a replacement provider and what questions to ask before you commit, see How to Choose a Home Care Provider.

If you'd like to understand your parent's funding entitlements before reviewing or renegotiating any agreement, the fee calculator estimates their quarterly budget and contribution based on their classification and income.

Not sure if your agreement is standard — or what your parent is actually entitled to? Answer a few questions and get a step-by-step plan built around their situation.

Common questions

What must be included in a Support at Home service agreement?

Under the Aged Care Rules 2025, a service agreement must include: a plain-language description of services; the price of each service; your individual contribution rate or a process for including it once confirmed; the care management fee (capped at 10% of your quarterly budget); how and when your care plan will be reviewed (at minimum annually); the complaint and feedback process; your rights under the Statement of Rights; how to end the agreement and required notice period; and how unspent funds are handled.

Can a home care provider charge an exit fee?

No. Exit fees are prohibited under Support at Home. If your service agreement includes any fee for leaving — regardless of what it is called — do not sign until it is removed. If you have already signed, contact OPAN on 1800 700 600.

What is the care management fee cap under Support at Home?

Care management is capped at 10% of your quarterly budget under the Aged Care Rules 2025. The remaining 90% must go toward your actual care and services. If the agreement specifies a higher percentage, ask the provider to correct it before you sign.

Do I have to sign my service agreement straight away?

No. You have up to 90 days to sign after receiving your confirmed contribution rate from Services Australia. Your services continue during this period. Your provider cannot cancel services because you have not yet signed.

Can I start receiving services before I sign the agreement?

Yes. Taking time to read and understand your agreement will not delay or interrupt your services. Services can begin while the agreement is being finalised.

What if I have already signed an agreement that has a problem clause?

Contact OPAN on 1800 700 600. OPAN provides free, independent advocacy. For serious breaches, you can also lodge a complaint with the Aged Care Quality and Safety Commission at agedcarequality.gov.au or on 1800 951 822.

Can a Support at Home provider lock me in for a minimum service period?

No. There is no lawful lock-in mechanism under Support at Home. You have the right to switch providers at any time. Any clause specifying a minimum period or exit penalty is unlawful.

How often must my care plan be reviewed?

At least once every 12 months under the Aged Care Rules 2025, or when you request a review. If the agreement sets a longer interval or omits care plan reviews, ask the provider to correct it.

What if my contribution rate says TBC in the agreement?

This is acceptable while Services Australia is confirming your rate. But the agreement should explain the process — that you'll receive your rate in writing and have an opportunity to review it before it's applied. If the agreement is silent on this, ask the provider to add the explanation.

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This guide is for information only — not legal, medical, or financial advice. Verified against the Aged Care Act 2024 and Aged Care Rules 2025. Check myagedcare.gov.au for current rates and rules.

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