Home Care Package Changes: What you need to know in 2025
If you or a loved one is currently receiving a Home Care Package (HCP) or is thinking about applying for one, you’ll want to stay updated on some important changes coming in 2025. Whether you’re looking for more flexibility in your care plan or wondering about new funding options, this year brings some key updates that could impact how services are delivered.
What Is changing in 2025?
1. Introduction of the Support at Home Program
From 1 November 2025, the Australian Government will launch the Support at Home program, which will replace the current Home Care Packages (HCP) and Short-Term Restorative Care (STRC) programs .
The new program aims to simplify access to in-home care, reduce wait times, and provide services that are better aligned with individual needs. Key features include:
- Upfront supports such as allied health services, assistive technology, and home modifications.
- A new classification and budget system to better match care levels with individual requirements.
- Government-set participant contributions to ensure fairness and transparency.
2. Changes to Pricing and Contributions
In the first year of the Support at Home program (from 1 November 2025), providers will continue to set their own prices for services, similar to the current HCP system. However, starting 1 November 2026, the government will implement price caps to standardise costs across providers.
These price caps will encompass the full cost of delivering services, including administrative expenses, labour, and transportation. This change aims to enhance transparency and prevent unexpected charges for consumers.
Additionally, the maximum lifetime cap for income-tested care fees has been updated to $82,347.13 as of 20 March 2025. Once this cap is reached, no further income-tested care fees will be charged.
3. Increased Funding for High-Need Individuals
Recognising the needs of those requiring more intensive support, the government has increased the annual funding for the highest classification of need from $60,000 to $78,000. This adjustment ensures that individuals with significant care requirements receive adequate resources to maintain their independence at home.
What does this mean for you?
If You’re Currently Receiving a Home Care Package
If you are already receiving services under the HCP or STRC programs, you will transition to the Support at Home program starting 1 November 2025. Importantly, your current level of support will continue, and you will not be required to pay more than you do now .
However, it’s essential to stay informed about the upcoming changes, as service delivery models and provider arrangements may evolve under the new program.
If You’re New to Aged Care Services
For those applying for in-home care services after 1 November 2025, the Support at Home program will be your primary pathway. The new system is designed to be more straightforward, with a single assessment process to determine your care needs and appropriate support levels.
Keep in mind that while the government will set price caps starting in 2026, during the initial year, providers will set their own prices. Therefore, it’s advisable to compare services and costs among different providers to find the best fit for your needs and budget.
How to prepare for the changes
- Stay Informed: Regularly check official sources like My Aged Care and the Department of Health and Aged Care for updates on the Support at Home program.
- Review Your Current Services: If you’re already receiving care, discuss with your provider how the transition may affect your services and any adjustments that might be necessary.
- Assess Your Needs: Consider any changes in your health or living situation that may require different or additional support under the new program.
- Financial Planning: Understand the potential costs associated with your care, especially with the introduction of price caps in 2026. Consult with financial advisors or aged care specialists to plan accordingly.
How My Guardian supports you in this transition
As Home Care Package changes take shape in 2025, providers like My Guardian play an essential role in helping individuals navigate the evolving landscape of aged care and disability support services. My Guardian offers a range of services, from Home care services, Private care, Retirement living, Specialist Disability Accommodation (SDA) to supported independent living (SIL), ensuring that individuals with disabilities receive the care they need to live independently and comfortably.
With their focus on personalised, client-centred care, My Guardian assists clients in understanding how these changes may affect their care plans and helps them access the right resources and support under the new guidelines. Their expertise and dedication provide peace of mind to families and individuals as they adjust to the latest changes in the Home Care Package system.
Need help navigating the options? Reach out to the team at My Guardian today. Let’s talk about how we can support your family’s unique care journey.
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