Aging at home with government subsidised funding is made possible through the Home Care Packages (HCP) program.
However, a crackdown on what the funds can be used for and a shortage of support workers can make it challenging to understand the funding available. If you are approved for a HCP, you will be assessed at one of 4 levels. These levels acknowledge the different types of care needed.
Current annual funding for packages is:
- $10,271.10 for level 1 (someone with basic care needs);
- $18,063.85 for level 2 (low care);
- $39,310.50 for level 3 (intermediate care); and
- $59,593.55 for level 4 (high care).
It can take up to 6 months for a HCP to be assigned following the initial assessment. Once assigned, a provider must be chosen to design a package of aged care services that is best and most appropriate for you – within the HCP guidelines.
Providers charge care and package management fees, which were recently capped at a combined 35% of the package funds.
Income tests apply
The packages are income tested, with part pensioners paying no more than $6,543.66 a year and self-funded retirees paying no more than $13,087.39 a year in fees. Full pensioners do not pay an income tested fee.
Older Australians can apply for a package directly, or through their GP, via the government’s My Age Care aged care gateway.
Due to the high demand for HCP, you may be offered a lower-level package while you wait for the one you are approved for. You may also be given access to the entry-level government support known as the Commonwealth Home Support Program – where individual referral codes are allocated to you to access interim support such as cleaning, transport or personal care at highly subsidised rates.
A revised manual released earlier this year by The Department of Health clarifying what a HCP can be used for is presenting additional challenges for some package recipients looking to maximise what they can get.
Generally, a requested support or service must meet an individual’s “ageing-related functional decline care needs”. The main categories of care and services you can get from a HCP are services to keep you:
- Well and independent (nursing, personal care, food);
- Safe in your home (home maintenance, goods and equipment); and
- Connected to your community (transport and social support).
Exclusions and inclusions
One area that is becoming more difficult for those with HCP is gardening – which is one of the most popular subsidised service requests.
Once a regular prune and possibly some new planting was an approved service, but now only minor or light gardening services can be provided and only where the person was previously able to carry out the activity themselves but can no longer do so safely. For example: maintaining paths through a property or lawn mowing.
Other exclusions causing angst amongst recipients are recliner chairs (unless they support a care recipient’s mobility, dexterity and functional care needs and goals); heating and cooling costs including installation and repairs; whitegoods and electrical appliances (except items designed specifically to assist with frailty, such as a tipping kettle). With an aging population, it is no secret that there is a shortage of support workers. While there are government programs to try and fix this, a backup plan is needed for when support workers call in sick or are unavailable and no replacement can be found.
Most people’s preference is to remain living independently at home for as long as possible. If you would like to discuss your options, contact your local Nexia Adviser today.
