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Home care costs explained: what you actually pay under Support at Home

In short: Under Support at Home, the government funds your care — but you may contribute toward some services depending on your income and assets. Clinical care (nursing, physio) is free. Personal care and domestic help attract contributions based on your financial situation. There is a lifetime cap on total contributions, and no-one pays for clinical care, regardless of income.

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

Key facts at a glance

  • The government funds your care — you contribute a share of certain services based on your income and assets
  • Clinical care (nursing, physio, occupational therapy) is always 100% government funded — you pay nothing
  • Personal care and domestic help attract contributions — the amount depends on your pension status
  • Contributions are calculated as a percentage of each service price — you only pay for services you actually receive
  • There is a lifetime cap on total contributions — once you reach it, you stop paying
  • Personal care becomes fully government funded from 1 October 2026 — contributions will reduce for most participants
  • The care management fee (maximum 10% of your quarterly budget) is separate from your service contributions — it comes out of your government-funded budget, not your pocket

How the cost split works: government funding vs your contribution

Support at Home is funded by the Australian Government. Your classification — set by your assessment — determines how much government funding is available for your care each quarter. This funding goes directly to your provider, who uses it to deliver your services.

On top of the government's contribution, most participants are asked to contribute a share of the cost of certain services. The key word is share — the government continues to pay the majority. Your contribution is a percentage of the service price. The government pays the remainder directly to your provider as a subsidy.

The percentage you pay depends on two things: the type of service you receive, and your income and assets. Not everyone pays the same rate, and not all services attract contributions at all.

Important: contributions are per-service, not a daily fee

Under the old Home Care Package system, many participants paid a daily income-tested care fee regardless of which services they used. Under Support at Home, you only pay for services you actually receive — calculated as a percentage of each specific service price. If you don't use a service in a given week, you don't pay for it.

The three service categories — and what each one costs you

Under Support at Home, all services are grouped into three categories. Your contribution rate depends on which category the service falls into.

1
Clinical supports — you pay nothing

Nursing, physiotherapy, occupational therapy, wound care

The government pays 100% of clinical care costs. No income or asset assessment applies to clinical supports — every participant receives clinical care at no cost, regardless of their financial situation. This includes nursing visits, physiotherapy, occupational therapy, speech pathology, podiatry, and other allied health services delivered as part of your Support at Home plan.

2
Independence services — moderate contribution

Personal care, respite care, social support, assistive technology

You contribute a moderate share of independence service costs, with the government paying the remainder. Contribution rates range from 5% to 50% depending on your income and assets assessment by Services Australia. Full Age Pensioners pay the lowest rates. Self-funded retirees without a Commonwealth Seniors Health Card (CSHC) pay up to 50%. Your actual rate sits somewhere in this range, determined individually by Services Australia.

3
Everyday living — highest contribution

Domestic assistance, cleaning, gardening, meal preparation, shopping

Everyday living services attract the highest contribution rates under Support at Home. Rates range from 17.5% to 80% depending on your income and assets. The government still pays the majority of the cost, but your share is higher than for independence services. If cleaning costs $60 per session, a full pensioner might contribute around $10.50, while a self-funded retiree without a CSHC could contribute up to $48. Your actual rate is set by Services Australia.

Service typeExamplesYour contribution range
Clinical supportsNursing, physio, OT, wound care0% — government funded in full
Independence servicesPersonal care, respite, social support, assistive technology5%–50% (income/assets assessed)
Everyday livingCleaning, gardening, meal prep, shopping17.5%–80% (income/assets assessed)

Source: Australian Government Department of Health and Aged Care, Support at Home participant contributions schedule (November 2025). Exact rates are individually assessed by Services Australia. The ranges above are the government-set minimum and maximum — your actual rate sits within these based on your income and assets.

How your individual contribution rate is set

Services Australia determines your individual contribution rate using an income and assets assessment — the same means test used for the Age Pension. You don't need to request a separate assessment; if you already receive the Age Pension, Services Australia uses the information already on file.

Your pension status is the primary factor:

Your situationIndependence servicesEveryday living
Full Age PensionerLowest rates (from 5%)Lowest rates (from 17.5%)
Part pensioner or CSHC holderAssessed rateAssessed rate
Self-funded retiree with CSHCSimilar to part pensionerSimilar to part pensioner
Self-funded retiree without CSHCUp to 50%Up to 80%
Means not disclosedMaximum rate (50%)Maximum rate (80%)

Important: do not leave your assessment as "means not disclosed"

If you do not provide your income and asset information to Services Australia, you default to the maximum contribution rates — 50% for independence services and 80% for everyday living. This is the highest you can pay. Providing accurate financial information almost always results in a lower rate. Contact Services Australia on 1800 227 475 to provide or update your income and assets details.

Part pensioners and CSHC holders pay a rate between the full pensioner minimum and the self-funded retiree maximum, determined by their specific income and assets. Services Australia will send you a letter confirming your assessed contribution rate before services begin. If your financial circumstances change — a pension change, change in superannuation income, or major asset change — your contribution rate can be reassessed. Contact Services Australia to request a review.

How the quarterly budget works in practice

Your Support at Home funding is allocated quarterly — four times per year. The amount of your quarterly budget is set by your classification, which reflects the level of support the assessor determined you need.

Ten per cent of your quarterly budget is reserved for the care management fee — your provider's charge for coordinating your services and managing your support plan. The care management fee is drawn from your government-funded budget, not from your own pocket. It does not appear as an extra bill. Under Support at Home, the care management fee is capped at 10% — your provider cannot charge more, regardless of how they label it. Read more about the care management fee cap and provider fees.

The remaining 90% of your quarterly budget is available for the services in your support plan. You pay your assessed contribution percentage on each service delivered. Your provider bills you for your contribution portion — the government pays the rest directly to the provider.

Example: how the budget works for a Classification 4 participant

A Classification 4 participant has a quarterly budget of approximately $7,425 (based on approximately $29,700 annually, indexed 1 July each year).

  • Care management fee (10%): approximately $742 per quarter — drawn from budget, not additional
  • Remaining for services: approximately $6,683 per quarter
  • Government pays the majority of each service cost
  • Participant pays their assessed contribution percentage on services received

Classification funding amounts are indexed on 1 July each year. See all classification levels and what each means in hours of care.

Your contributions are collected directly by your provider when services are delivered — not by the government or Services Australia. Your monthly statement from your provider should show each service delivered, the full price of that service, the government's subsidy contribution, and your contribution amount. Use the statement decoder to check that every line on your statement is correct.

Unspent budget: what carries over and what doesn't

At the end of each quarter, unspent funds automatically carry over to the next quarter — but only up to a cap. The rollover amount is whichever is higher: $1,000 or 10% of your quarterly budget. Any unspent amount above that cap does not roll over — it returns to the government.

For example: if your quarterly budget is $7,000 and you have $1,400 unspent at quarter end, only $700 (10% of $7,000) carries over. The remaining $700 is lost. This makes it important to work with your provider to plan services that use your budget effectively each quarter.

If your provider is charging amounts that don't match what Services Australia told you your rate would be — or if fees appear that aren't your assessed contributions — this is a problem worth addressing. Use the overpayment calculator to check whether you've been charged correctly.

The lifetime cap — the limit on what you'll ever pay

There is a lifetime cap on Support at Home participant contributions. Once you reach the cap, you stop paying contributions entirely — for the rest of your time in the aged care system, including if you later move to residential care.

Current lifetime cap (2026)

The lifetime cap for Support at Home participants on the standard (1 November 2025) fee arrangements is approximately $137,917, indexed on 20 March and 20 September each year. Verify the current exact figure with Services Australia (1800 227 475) as it is updated twice yearly.

Source: My Aged Care (indexed March 2026) and Department of Health and Aged Care (base amount $135,318.69 at 1 November 2025).

This is a combined lifetime cap. Contributions you make toward Support at Home count toward the same cap as the non-clinical care contribution in residential aged care. If you ever move from home care to a residential aged care facility, what you have already contributed toward Support at Home counts toward the combined cap.

Services Australia tracks your cumulative contributions and will notify you — and your provider — when you are approaching and reach the lifetime cap. Once reached, your provider is notified and contributions stop. You do not need to track this yourself or request that it be applied.

If you were on a Home Care Package before 12 September 2024

You are protected under the "no worse off" principle. You will pay the same or less under Support at Home than you paid under your Home Care Package. A separate, lower lifetime cap applies to this protected cohort — $86,185.23 (indexed from 20 March 2026). What you paid under your Home Care Package counts toward this cap. Contact Services Australia on 1800 227 475 to confirm which cap applies to your situation.

What changes from 1 October 2026 — personal care becomes free

From 1 October 2026, personal care services will move from the Independence category to the Clinical category. This means personal care will become fully government funded — participants will pay nothing for personal care, regardless of their income or assets.

Personal care includes showering assistance, dressing, grooming, continence support, and mobility assistance during personal hygiene routines. For many participants, personal care is the most frequently delivered service in their support plan. This change will meaningfully reduce the total contributions most participants pay.

What this means for your costs

  • Personal care contributions you currently pay will reduce to zero from 1 October 2026
  • Your support plan will not change — services continue without interruption
  • Your provider will update your statement to reflect the new contribution rate for personal care
  • If personal care is a significant part of your plan, your total contributions will reduce substantially

Everyday living services (cleaning, gardening, meal prep) are not affected by this change — contributions for these services continue at the rates set by your Services Australia assessment. Read the full guide to what's changing in October 2026.

What if you can't afford your contributions

If you are experiencing genuine financial difficulty and cannot afford your assessed contributions, you can apply for financial hardship assistance through Services Australia.

If your application is approved, the government will pay a fee reduction supplement covering some or all of your contributions for the period you are in hardship. You do not have to stop services or reduce your care plan while hardship assistance is assessed.

Financial hardship assistance is not automatic — you need to apply. Contact Services Australia on 1800 227 475 and ask about the financial hardship provisions under Support at Home. They will ask about your financial circumstances and explain the process.

If your financial situation has changed since your original income and assets assessment — reduced income, change in pension status, significant asset change — requesting a reassessment with Services Australia may result in a lower contribution rate, which is different from and faster than the hardship process.

Fees your provider cannot charge you

Under Support at Home, your costs are strictly regulated. Beyond your assessed contributions and the care management fee drawn from your budget, providers cannot charge additional fees.

What providers cannot charge under Support at Home

  • Separate administration fees
  • Entry fees or exit fees
  • Package management fees (these existed under the old Home Care Package system and are no longer permitted)
  • Any care management fee exceeding 10% of your quarterly budget
  • Fees for clinical services — nursing, physiotherapy, and allied health are fully government funded

Under the old Home Care Package system, some providers charged package management fees of up to 30–40% of the package value. These no longer exist under Support at Home. If your provider sends a bill that includes any of the above charges, ask them to explain which fee arrangement applies — and refer them to the Aged Care Rules 2025 if needed.

For a full guide to what your service agreement should say — and what to push back on before you sign — see the home care agreement red flags guide.

How this compares to the old Home Care Package system

If you or someone you care for transitioned from a Home Care Package to Support at Home, the cost structure has changed in ways that affect most participants.

FeatureOld Home Care PackageSupport at Home (from Nov 2025)
Package management feeUp to 15% (some charged 30–40% before caps)No longer exists
Care management feeIncluded in package managementCapped at 10% of quarterly budget
Income-tested care feeDaily fee applied to all servicesReplaced by % contribution per service
Clinical care costsIncome-tested fee could applyAlways 0% — fully government funded
Exit feesSome providers charged theseProhibited under Support at Home
Fee transparencyVaried by provider — often opaquePublished prices required; cap applies

For most participants, Support at Home is a fairer system — particularly for full pensioners and those who use significant clinical or personal care services. Self-funded retirees who primarily use domestic services (cleaning, gardening) may pay a higher share under Support at Home than they expected, as the contribution rate for everyday living can be substantial.

For a detailed side-by-side comparison of the two programs — including funding structure, waiting times, and service delivery — read the Support at Home vs Home Care Package comparison guide.

Frequently asked questions

Does the care management fee come out of my own pocket?

No. The care management fee is drawn from your government-funded quarterly budget — it reduces the amount available for direct services, but it is not an additional charge you pay yourself. Under Support at Home, the care management fee is capped at 10% of your quarterly budget. Providers cannot charge more than this, regardless of how they label the fee.

I'm a full Age Pensioner. Will I have to pay much?

Full Age Pensioners pay the lowest contribution rates under Support at Home. You will pay no contribution for clinical care. For independence services (personal care) your contribution is at the minimum rate — starting from 5% of service cost. For everyday living services (cleaning, gardening) your rate starts from 17.5%. From 1 October 2026, personal care becomes fully government funded, so your contributions will reduce further. The exact rates depend on your specific income and assets assessment by Services Australia.

My parent is a self-funded retiree. Will the costs be high?

Self-funded retirees without a Commonwealth Seniors Health Card (CSHC) pay the highest contribution rates — up to 50% for independence services and up to 80% for everyday living services. However, the government still pays the majority of the service cost. Clinical care (nursing, physio, OT) remains fully government funded regardless of assets. If your parent holds a CSHC, they pay at a rate similar to a part pensioner rather than the maximum self-funded rate — this is worth checking with Services Australia if they haven't already applied for a CSHC.

Can I run out of budget mid-quarter?

Your quarterly budget funds the government's subsidy contribution — your provider claims this subsidy for services delivered. If your planned services would exceed the quarterly budget, your provider should flag this and adjust your support plan before it happens. Overspending is not permitted. Any unspent funds at quarter end carry over automatically, but only up to the higher of $1,000 or 10% of your quarterly budget — amounts above that cap return to the government. This makes it worth reviewing your service plan with your provider each quarter to make sure your budget is being used effectively.

What is the difference between my contribution and the care management fee?

They are two separate things. Your participant contribution is the percentage of each service price that you personally pay — based on your income and assets. The care management fee is what your provider charges for coordinating your care — it is capped at 10% of your quarterly budget and comes out of your government-funded budget, not your pocket. Your monthly statement should show both clearly.

If I switch providers, do I lose my accumulated contributions toward the lifetime cap?

No. Your lifetime cap accumulation is tracked by Services Australia, not your provider. When you switch providers, your contribution history stays with Services Australia and continues to count toward the cap. Your new provider is notified of your assessed contribution rate and any existing cap accumulation. Switching providers has no effect on your progress toward the lifetime cap.

What happens to my contributions if I go into hospital?

While you are in hospital and not receiving Support at Home services, you do not pay contributions — because you are not receiving services. Contributions are only charged for services actually delivered. When you return home and services resume, contributions resume at your assessed rate. If you are hospitalised for an extended period, contact your provider to discuss your support plan and ensure your quarterly budget is managed appropriately while you are away.

I was told my contribution rate would be X, but my bill shows something different. What do I do?

Your assessed contribution rate is set by Services Australia and communicated to you in writing. If your provider is charging a different percentage, first check your Services Australia letter to confirm your rate. Then raise the discrepancy with your provider in writing, referring to the rate on your Services Australia letter. If unresolved, contact the ACQSC on 1800 951 822 or use the overpayment calculator to document the discrepancy before escalating.

Can I reduce my costs by self-managing my Support at Home funding?

Self-management gives you more control over who delivers your services and can reduce costs in some circumstances — particularly if you can engage workers at lower hourly rates than those charged by a full-service provider. However, self-management requires more administration from you and is not suitable for everyone. Your assessed contribution rate remains the same under self-management — you still pay the same percentage of service costs. The saving comes from potentially lower service prices, not a different contribution rate.

Will my contribution rate change over time?

Yes, your rate can change. The main triggers are: changes to your income or assets (report these to Services Australia), changes to your pension status, indexation of the pension thresholds on 20 March and 20 September each year, and changes to the mix of services you receive. Services Australia will send you a letter if your rate changes. If you believe your rate is wrong or your circumstances have changed, contact Services Australia on 1800 227 475 to request a review.

Related guides

Choosing and managing your aged care provider

How to find a provider, what the care management fee cap means, and what your service agreement needs to say.

Home care agreement red flags — what to check before you sign

The clauses that protect providers, not participants — and what to push back on before services begin.

Support at Home changes — what's happening in October 2026

Personal care moves to fully government funded from 1 October 2026. What changes, what stays the same, and what to do now.

Support at Home vs Home Care Package — what's actually different

A plain-language comparison of how the two programs work, who is on each, and what the transition means for costs and services.

How to switch your home care provider

What happens to your funding, who handles the transfer, and how to make the switch without a gap in services.

Support at Home classifications: what each level means in hours of care

How the eight classification levels translate to real services and weekly hours.

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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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