How Much Will You Pay Under Australia’s New Aged Care Program?
If you’re exploring aged care at home for yourself or a parent, one of the first questions you’ll ask is:
How much is this going to cost us?
With the introduction of the new Support at Home program, many Australians are trying to understand how participant contributions work, what services are fully funded, and whether they’ll need to pay more than they did under Home Care Packages.
This guide explains Support at Home contributions clearly, based on current Australian Government guidance. It’s written to help families plan with confidence.
Is Support at Home Free?
Support at Home is government funded, but it is not completely free.
The Australian Government pays the majority of care costs. However, most participants will contribute toward certain services depending on their financial situation.
Your contribution is determined through a financial assessment completed by Services Australia after approval through My Aged Care.
The key principle is fairness. Those with greater financial capacity contribute more. Those on lower incomes contribute less.
Importantly, clinical care remains fully government funded.
How Support at Home Services Are Categorised
1. Clinical Care – Fully Government Funded
Clinical services do not require a participant contribution.
These include:
If your parent requires nursing support at home, the government covers that cost.
2. Independence Support – Lower Contribution Level
Independence services help people remain safe and functional at home.
Participants may need to contribute toward these services based on their income and assets assessment.
Examples include:
Contribution rates are tiered. Someone receiving a full Age Pension will contribute less than someone who is self-funded.
3. Everyday Living Support – Higher Contribution Level
Everyday living services attract a higher contribution rate.
These supports are considered lifestyle or domestic assistance services rather than health care.
Examples include:
The government still funds part of these services, but participants are expected to contribute a greater share if they have the financial capacity.
How Is Your Contribution Calculated?
Once approved for Support at Home, you can apply for a financial assessment with Services Australia.
They assess:
• Income
• Financial assets
• Investments
• Superannuation in certain circumstances
You are then assigned a contribution classification.
Your contribution is calculated as a percentage of the cost of certain services, not as a flat weekly fee.
Clinical services remain at 0 percent contribution.
Independence and everyday living services are co-funded based on your assessed capacity.
Do Contributions Reduce Your Government Funding?
This is an important clarification.
Under Support at Home, your approved quarterly funding amount does not reduce because you are required to contribute.
However, contributions operate as a co-contribution model.
For eligible services:
• The Government pays a defined percentage of the service cost
• You pay the remaining percentage based on your means assessment
Your contribution does not increase your budget. It also does not reduce your approved funding level.
Instead, each service is jointly funded.
This means your overall care planning must consider both:
• Your approved funding classification
• Your required co-contribution percentage
Clear explanations from your provider are essential so you understand exactly how services are being costed and shared.
Are There Caps on Support at Home Contributions?
Yes — but not annual caps.
Under the Support at Home program, participant contributions are subject to a lifetime cap, not an annual cap.
This means:
• There is a maximum amount you can contribute over your lifetime across aged care services
• Once you reach that cap, you no longer pay further contributions for eligible services
• The lifetime cap applies across both home care and residential aged care
There is no yearly limit on contributions under Support at Home.
However, the lifetime cap provides long-term financial protection, ensuring people are not exposed to unlimited cumulative costs over time.
If your financial circumstances change, you can request a reassessment through Services Australia.
Hardship provisions also remain available for people experiencing financial difficulty.
Why This Structure Exists
The Support at Home model is designed around sustainability and fairness.
Clinical health needs are fully funded.
Independence and domestic services are co-funded according to capacity.
This approach aims to:
• Protect access to health care
• Encourage independence
• Ensure the aged care system remains viable for future generations
While contributions are an important consideration, the focus should remain on structuring care properly.
A well-designed plan can reduce hospital admissions, prevent decline, and adapt as needs change.
Questions Every Family Should Ask
Before signing a Support at Home agreement, it’s reasonable to ask:
• Which of my services fall into each contribution category?
• What percentage contribution applies to me?
• How will I be invoiced?
• What happens when I reach my annual cap?
• How often will my plan be reviewed?
Clarity at the beginning prevents stress later.
The Bigger Picture
Support at Home is one of the most significant aged care reforms in Australia in decades.
Understanding contributions helps you plan.
But just as important is choosing a provider that:
• Explains fees clearly
• Reviews care proactively
• Aligns services with clinical need
• Focuses on maintaining independence
When care is structured properly, families feel confident. And that confidence matters.
If you’re navigating Support at Home anywhere in Australia, take the time to understand your assessment outcome, ask questions, and seek clarity before committing.
Good providers welcome those conversations.
