Hand holding a pen about to sign a resident's agreement

Aged care costs if you entered care before 1 July 2014

On 1 July 2014, the way fees are worked out for home care packages and aged care homes changed. These changes are part of reforms so the aged care system is more sustainable and affordable.

More information on aged care reforms is available on the Department of Health website.

Home care package costs before 1 July 2014

If you received a home care package before 1 July 2014, the fee arrangements that started on 1 July 2014 do not apply to you. You will keep paying the fees that you already pay.

You will not be affected by the changed fee arrangements if you move between package levels. However, the changed financial arrangements will apply if you:

  • leave your home care service provider for more than 28 days (not including leave) and then re-enter home care
  • change the type of care you receive, such as leaving a home care package and moving into an aged care home.

Read more about home care package costs if you started care before 1 July 2014.

If you transfer to a new home care service, you can opt into the post-1 July 2014 fee arrangements.

Aged care home costs before 1 July 2014

If you moved into an aged care home before 1 July 2014, the fee arrangements that started on 1 July 2014 do not apply to you. You will keep paying the fees that you already pay.

However, the changed financial arrangements will apply if you leave your aged care home for more than 28 days and then re-enter an aged care home.

If you are a resident who moved into an aged care home before 1 July 2014 and decide to move to a new aged care home, you have the option of being assessed under the post-1 July 2014 fee arrangements or staying with your existing arrangements.

If you moved into an aged care home before 1 July 2014, the fees you pay your aged care home provider include:

The type of accommodation cost you are asked to pay depends on the level of care you were assessed as needing when you moved into the aged care home and the amount of your assessed assets.

Read more about aged care home costs if you started care before 1 July 2014.

Read more about Accommodation bonds before 1 July 2014.

Read more about Accommodation charges before 1 July 2014.

Opting into the post-1 July 2014 fee arrangements

If you were receiving a home care package or had entered an aged care home on or before 30 June 2014 and you move to a new home care service or aged care home (and do not spend more than 28 days outside of care, other than on approved leave), you can to opt into the fee arrangements that started on 1 July 2014.

To make this choice, you need to complete the Continuing Care Recipient opting into the New Aged Care Arrangements from 1 July 2014 (AC022) form and have your provider submit it to the Department of Human Services before you transfer.

Your provider will also need to give you to read:


If you do not complete and submit this form before you transfer, you will automatically be classed as a ‘continuing care recipient’ and will remain on your pre-1 July 2014 fee arrangements. This is not a reviewable decision and must be done correctly in order for you to opt in. You should discuss opting in with your new aged care provider beforehand.

Last reviewed: 12 April, 2017.