Support at Home Program vs. Home Care Packages: What’s Changing?
- Aayush Piya
- Mar 28
- 9 min read
Updated: Apr 1
Big changes are happening in the world of aged care with the Australian Government replacing Home Care Packages (HCP) with the Support at Home Program. This transformative shift is set to revolutionize the way care is delivered to older Australians, focusing on flexibility, reduced wait times, and a better alignment with individual needs.
The goal of the Support at Home Program is to replace the old fixed-level care packages with a personalized, needs-based system that empowers recipients to receive the care that best suits their lifestyle. Whether you’re currently on a Home Care Package, considering care options, or simply curious about the changes, this guide will break down the key features, benefits, and impact of the Support at Home Program. Let’s dive into what’s changing and how it could affect you.
1. What’s Changing? Key Differences at a Glance
To better understand the Support at Home Program’s impact, let’s break down the key differences between the current Home Care Package (HCP) and the new system:
Aspect | Current: Home Care Packages (HCP) | New: Support at Home Program | What’s Changing? |
Funding | Fixed-level package funding (Level 1–4) | Individualized funding based on needs | More flexible, tailored to specific care needs |
Service Access | Limited by package level | Needs-based, adaptable support | No more fixed levels, care will change based on your needs. |
Management | Provider controls funds & services | Consumers have more control over spending | Increased choice and transparency |
Wait Times | Long waiting lists | Expected faster access | Streamlined process, reducing delays |
Provider Role | Providers manage package funds | Direct government payments to service providers | Less complexity, more accountability |
2. The Support at Home Program Timeline
Date | Event |
8 October 2018 | The Royal Commission into Aged Care Quality and Safety is established to review the quality and safety of aged care in Australia. |
26 February 2021 | The Royal Commission delivers its final report to the Governor-General, making 148 recommendations for aged care reform. (royalcommission.gov.au) |
1 March 2021 | The final report is tabled in the Australian Parliament. (royalcommission.gov.au) |
January 2022 | The Federal Government announces the Support at Home Program, initially slated for implementation in July 2023, later postponed to July 2024, and then to July 2025. |
January to July 2022 | The Department of Health and Aged Care conducts public consultations, gathering feedback from stakeholders. |
December 2024 | The government announces pricing arrangements for the Support at Home Program, with price caps for services delayed until July 2026. |
1 July 2025 | The Support at Home Program replaces the Home Care Packages (HCP) Program and Short-Term Restorative Care (STRC) Programme. |
July 2025 - December 2025 | Grace period for existing Home Care Package recipients. They will continue receiving services under the new system without disruption. This period is for transition assistance to ensure smooth changes. |
Post-1 July 2025 | The Commonwealth Home Support Programme (CHSP) transitions to Support at Home no earlier than 1 July 2027. |
STRC and CHSP Transition
As part of the reform, Short-Term Restorative Care (STRC) and the Commonwealth Home Support Program (CHSP) will transition to the Support at Home Program.
Short-Term Restorative Care (STRC):
Starting July 2025, STRC services will shift to the Support at Home Program with a focus on restoring independence through individualized care.
Current STRC recipients will continue receiving services under the new system, with more personalized funding.
Commonwealth Home Support Program (CHSP):
CHSP will transition to the Support at Home Program by July 2027, allowing recipients to access more flexible, needs-based services.
CHSP services will continue under the current model until the transition.
3. How Will My Contribution Be Calculated Under Support at Home?
Under the Support at Home Program, the Australian Government will fully fund clinical care services, such as nursing and physiotherapy. Contributions for other services specifically Independence Support (e.g., personal care) and Everyday Living Support (e.g., cleaning, gardening, meals) will be determined through means testing, considering your income and assets.
Here’s how the contributions are structured based on your financial situation:
Category | Clinical Care (e.g., nursing) | Independence Support (e.g., personal care) | Everyday Living Support (e.g., cleaning, meals, gardening) |
Full pensioner | 0% | 5% | 17.5% |
Part pensioner | 0% | 5-50% (means-tested) | 17.5-80% (means-tested) |
Self-funded retiree (with/eligible for Commonwealth Seniors Health Card) | 0% | 5-50% (means-tested) | 17.5-80% (means-tested) |
Self-funded retiree (not eligible for Seniors Health Card) | 0% | 50% | 80% |
Impact:
The contribution percentages depend on your financial assessment, which includes both your income and assets.
The Self-funded retirees who are not eligible for the Seniors Health Card will contribute a higher percentage for Independence Support and Everyday Living Support.
This structure ensures that the system is fairer, with individuals contributing according to their ability to pay. Some people may end up paying more, while others may pay less, depending on their financial situation.
4. How Does the Support at Home Program’s Budget Work?
The budget under the Support at Home Program will also differ significantly from the current system.
Old System: Funding was allocated based on fixed-level packages (Level 1-4), and payments were made as a lump sum to service providers.
New System: Funds will now be allocated based on individual needs, ensuring that resources are tailored to each person’s unique circumstances. Services will be directly funded, rather than just a lump sum to providers.
Expected Benefits:
Greater efficiency in the allocation of funds.
Reduced administrative costs due to the streamlined approach.
Improved transparency for recipients, with clearer visibility of where and how funds are being used.
The budget allocation will depend on the needs assessment and is structured in a tiered manner, as shown below:
Classification | Quarterly Budget | Annual Amount |
1 | $2,750 | $11,000 |
2 | $4,000 | $16,000 |
3 | $5,500 | $20,000 |
4 | $7,500 | $30,000 |
5 | $10,000 | $40,000 |
6 | $12,000 | $48,000 |
7 | $14,500 | $58,000 |
8 | $19,500 | $78,000 |
This breakdown shows the quarterly and annual budgets allocated to each classification, allowing for tailored care plans based on the assessed needs of individuals. The government funds clinical care services fully, while Independence Support (e.g., personal care) and Everyday Living Support (e.g., cleaning, meals, gardening) will be determined based on means testing.
By transitioning to this individualized funding system, the Support at Home Program aims to deliver greater transparency and ensure that funds are allocated in the most efficient and effective manner for each recipient.
5. What This Means for You
If you're already receiving care or are considering it, the transition from Home Care Packages (HCP) to the Support at Home Program will have a few immediate effects:
For Current HCP Recipients:
Transition to the New System: Your current services will be adjusted to fit the new system.
Increased Flexibility: You’ll find more options for service delivery, which will be better tailored to your specific needs.
Funding Adjustments: Your funding arrangement may change. It’s advisable to discuss these changes with your provider to understand how the transition will affect you.
For New Applicants:
Simpler Process: The application process will be more streamlined, with potentially faster access to services.
Needs-Based Care: Instead of waiting for a specific package level, care will be allocated based on the needs assessment.
More Transparency: You’ll have a clearer understanding of how funds are allocated and used in your care.
6. What Will Happen to Unspent Funds?
In the Support at Home Program, if any funds allocated for your care remain unspent at the end of the funding period, these funds will not be refunded to you. Instead, they will typically roll over to the next funding cycle or be reallocated for future use, depending on your individual care needs and the specific funding rules set by your care provider or the government. This allows for greater continuity in care without interruptions.
However, it’s important to work closely with your care provider to ensure your allocated funds are used efficiently throughout the year.
7. Potential Drawbacks: Will Some People Receive Less Funding Than Others?
While the Support at Home Program is designed to offer greater flexibility and individualized care, there are a few potential downsides to consider:
Variation in Funding:
Some individuals, particularly those with higher income or assets, may receive less funding than they did under the previous system, as funding is now needs-based and subject to means testing.
This means that while those with lower incomes or assets may receive more support, self-funded retirees or individuals not eligible for government assistance may see a reduction in their funding allocation.
Transition Challenges:
During the transition period, there may be some temporary disruptions in service delivery. If there are delays in processing assessments or distributing funds, individuals could face difficulties accessing the services they need immediately.
Additionally, as care providers adjust to the new system, there may be some initial confusion regarding funding allocation and service availability.
Financial Impact:
While the aim is to provide equitable care, some individuals may feel the financial pressure if their contributions are higher than expected, especially self-funded retirees who are not eligible for the Seniors Health Card. This could result in additional out-of-pocket expenses for care services.
8. Potential Challenges to Watch Out For
While the Support at Home Program is designed to improve aged care, there may be some challenges during the transition period:
Transition Period Disruptions: As the system is rolled out, there might be temporary disruptions to services. It’s essential to be prepared for this and stay informed about the progress of the implementation.
Uncertainties in New Funding Model: The allocation of individualized budgets is still being refined. There may be some uncertainties regarding how funds will be distributed and whether this will adequately meet the diverse needs of recipients.
Provider Adaptation: Some providers may need time to adjust to the new system, potentially leading to temporary delays or confusion in service delivery.
Despite these challenges, the overarching aim of the Support at Home Program is to create a system that is simpler, fairer, and more responsive to individual needs.
Navigating the Change
The shift from Home Care Packages to the Support at Home Program is a significant change, designed to make aged care more personalized, efficient, and accessible for older Australians. While there are some challenges to navigate during the transition, the new system promises greater flexibility and transparency.
Next Steps:
Stay Informed: Keep an eye on updates from My Aged Care or your service provider regarding the transition.
Review Your Care Plan: It’s a good idea to speak to your provider and review your current plan, discussing any potential changes.
Be Proactive: Ensuring a smooth transition will require active communication with providers and a clear understanding of how the new system works.
How Aged Care Choices Can Help You
Choosing the right aged care provider in the context of these changes can be challenging. Aged Care Choices offers support to help you navigate the system. Here’s how they can assist:
Compare Providers: Find and compare aged care providers in your area.
Understand New Options: Get detailed information on services available under the Support at Home Program.
Personalized Assistance: Receive guidance in selecting a provider that best meets your needs and budget.
Home Care Finder Tool: Use the Home Care Finder Tool tool to compare real-time availability of home care services and find the best fit for your specific requirements.
Visit Aged Care Choices to explore care options and make an informed decision for you or your loved ones.
Frequently Asked Questions
1. What is the Support at Home Program?
The Support at Home Program is an Australian Government initiative designed to provide personalized and flexible care for older Australians, replacing the previous Home Care Packages (HCP) system. It offers tailored care based on individual needs, with a focus on greater transparency and more control for recipients.
2. When does the Support at Home Program start?
The Support at Home Program will be fully rolled out in July 2025. Existing Home Care Package recipients will transition into the new system during this period, with a grace period until December 2025 to ensure smooth adjustments.
3. How is funding calculated under the Support at Home Program?
Funding is now based on individual needs and means-tested contributions. The program provides a more flexible system where contributions are determined by income and assets. Clinical care is fully government-funded, while personal care and everyday living support (e.g., cleaning, gardening) are subject to means testing.
4. Will the new system provide equal funding for everyone?
The Support at Home Program ensures more personalized funding, but some people may receive less funding depending on their financial assessment. Self-funded retirees or those not eligible for a Seniors Health Card may see a reduction in funding for services like personal care and home maintenance.
5. What happens to unspent funds?
Any unspent funds from the Support at Home Program are typically rolled over to the next period or reallocated to future care services, depending on the needs assessment. Funds will not be refunded.
6. How will Short-Term Restorative Care (STRC) be affected?
STRC services will transition into the Support at Home Program by July 2025. The services will continue to focus on restoring independence and providing rehabilitation support but under a more flexible, needs-based model.
7. What will happen to the Commonwealth Home Support Program (CHSP)?
The CHSP will also transition to the Support at Home Program by July 2027. Current CHSP recipients will continue under the existing system until the transition occurs, ensuring they still receive essential support.
8. Will the Support at Home Program be easier to apply for?
Yes, the application process for the Support at Home Program is designed to be simplified and streamlined. Care will be allocated based on your assessed needs, with faster access and clearer visibility of funding and services.
9. Can I choose my care provider under the Support at Home Program?
Yes, the Support at Home Program offers increased choice and transparency in selecting care providers. Recipients will have more control over spending, allowing them to choose providers that best meet their needs.
10. Is there a grace period for transitioning to the Support at Home Program?
Yes, there is a grace period from July 2025 to December 2025, during which time current Home Care Package recipients will transition without disruption. This period allows individuals to adjust to the new system and ensures continued care.
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