If you’re like most Australians, you’ll want to stay in your home for as long as possible as you get older. That’s why home care packages are becoming increasingly popular.
In this article, we will explain what home care packages are, the four levels of home care packages, what services are included in home care packages, how to access them, and how much they cost. We’ll also give you some tips on how to use your home care package to get the most out of it!
What Are Home Care Packages?
Home care packages are an Australian government-funded care program that is initially designed to help seniors live independently in their own homes for as long as possible.
Home care packages provide a coordinated package of home care services to meet an individual’s assessed needs that are assessed by the aged care assessment team (ACAT assessment). These services can include personal care, domestic assistance, nursing services, etc. Home care packages are delivered by home care providers who are registered with the Department of Health.
Packages are tailored to each individual’s needs and can be increased as those needs change over time.
Home care packages are an important part of the Australian government’s aged care system, and they provide seniors with the support they need to maintain their independence.
What Are The Four Levels Of Home Care Packages?
There are four levels of home care packages, and they are determined by the assessed needs of the individual.
Level 1: Basic care needs
Level 2: Low-level care needs
Level 3: Intermediate care needs
Level 4: High-level care needs
The services included in each level of the home care package will be based on your home care package budget, and the level of care will be determined by the ACAT assessment.
*You can find an explanation of the ACAT assessment here.
The government doesn’t pay your home care package funds annually – instead, they pay daily. There are some situations where the government will reduce your home care package funds such as if you stay in a hospital for treatment or a nursing home for a short-term respite or if you go on a trip.
Therefore, home care service providers calculate your home care package funding and your home care package fees daily to match government regulations.
What Services Are Included In Home Care Packages?
Unlike the grand funding program (commonwealth home support programme), the home care package program is a package program, which means it’s designed to support all your needs related to your health conditions based on the level of funding approved for you.
Here are the services you could receive based on your care needs and the level of funding but are not limited to:
- Personal care – e.g. showering.
- Domestic assistance – e.g. cleaning, laundry, etc.
- Support aids & equipment – e.g. shower chair or 4-wheel walkers, etc.
- Social support
- Meal preparation
- Nursing care
- Allied health support – e.g. physiotherapy, occupational therapy, dietician, remedial massage, podiatry, etc.
- Shopping service
- Transport service
- Day centre group
- Home maintenance
The service provider you choose will assess you on physical, psychological, medical, and social conditions to identify your care needs, then discuss with you your care plan based on your care needs and your level of government funding.
How To Access Home Care Packages?
Here is the process on how to access home care packages:
- Referral and registration with My Aged Care – enrol/register for My Aged Care, you can either register online or via phone. More information is here.
- My Aged Care staff will connect you to arrange an assessment.
- Completion of a comprehensive aged care assessment – one of the aged care assessment team assessors will assess you. Read what you need to prepare for the assessment here.
- Receive outcome of comprehensive aged care assessment – you will get approved for one of the government-funded programs. There is a national queue for the home care package program. If you get approved for a home care package, you may need to wait for 3-6 months until you get assigned the approved home care package. (*note: “approve” means you get approved to have the level of a home care package, but you need to wait until you get the notice where it says you have been “assigned” a home care package.)
- Start finding a home care provider. Tips of finding a home care provider.
- Conduct an income assessment from Service Australia to see if you need to pay any amount money for receiving a government funding.
- Once you have received the letter notifying you that you have been assigned a home care package, you can sign an agreement with the home care provider of your choice from the assigned date.
- You have 56 days to sign the agreement with the care provider you chose (*Do your research while you are waiting to be assigned your home care package).
- Start receiving care/services from your home care fund.
How is Home Care Package Funding Calculated?
The Principle of Your Home Care Package Funding:
The total amount of a Home Care Package is made up of two parts:
- The Australian government’s contribution
- Your contribution
- Income-tested care fee (It’s mandatory if you have been asked to pay). More details about income-tested care fee.
- Basic daily fee (It’s not mandatory. Your service provider may ask you to pay a basic daily fee for receiving a home care package. But if you request more services above your budget, you need to pay for your extra/additional services).
An Example Of Level 2 Funding With an Income-tested Care Fee:
L2 is supposed to have funding of $44.24 per day. However, if you have been asked to pay an income-tested care fee of $2 per day, your home care package funding is:
- The government’s contribution account: $42.24 per day
- Your contribution account: $2 per day
- The total funding per day: $44.24
From 1/09/2021, the government doesn’t pay your home care funding to your care provider – instead, your care provider claims your expenditure monthly from the government, which means you pay your contribution to your care provider. Your provider uses your contribution first on your care, then if that’s not enough to cover all your expenditure, then they claim the rest of your expenditure from the government.
Management Fees From Care Providers
All care providers charge management fees and the government allows them to charge their management fees. This is because the services provided have to meet My Aged Care Quality Standards, which means the care providers need to have systems in place in order to meet all the quality standards. That may include, but is not limited to:
- A coordination system with all service providers such as physiotherapists, home maintenance companies, gardening companies, etc.
- Assessment and care planning system.
- Risk management system.
- Incident and accident management system.
- Budget management system.
- Training system, etc.
How The Management fees Affect Your Home Care Package Funding
Below is an example of how much L2 home care funding you receive, and how much can be used for your care/services.
- Income:
L2 income per day: $44.24
Per week: $44.24 * 7 days = $309.68
- Expenditure:
Care management fee per day: $7.85
Package management fee per day: $4.5
Total management fees per week:
$7.85+$4.5 = $12.35 per day * 7 days = $86.45
- The funding amount that can be used on your care/services weekly:
Income $309.68 – management fees $86.45 = $223.23
*You can check the management fees of the different care providers on the My Aged Care website.
You could now use the $223.23 to receive the care/services you needed.
- If you request services that cost more than $223.23 per week. You then need to pay your contribution for the cost of additional services. Therefore, care planning is an important step that makes sure you receive the services you need and is sustainable if you don’t want to pay a contribution. You and your care advisor need to discuss your care needs and budget and prioritise the most important needs.
- If you can’t spend all $223.23 per week, the leftover amount of your funding will be accumulated in your home care package account like your savings in a bank. You can use them whenever you need.
Conclusion:
The amount of home care funding you receive from the government is based on your income and care needs. You are required to pay an income-tested care fee if you have been asked to do so. Your provider can also charge you a management fee for the services they provide, which will be deducted from your Home Care Package Fund. If you need extra services that cost more than your budget, you will need to pay for these services yourself. Care planning is important in order to make sure you are receiving the care you need and that your budget is sustainable.
Thanks for your time! Please feel free to reach out if you have any questions.
