Home care package - home care account and Commonwealth (CW) unspent funds 065-21081745

The home care account was introduced as part of the Improved Payment Arrangements (IPA) for home care September 2021 changes.

Unspent funds are the total amount of home care subsidy and fees a service provider has received on behalf of a care recipient that have not been spent. For information about unspent funds, see Support at Home - unspent home care amounts.

From 1 September 2021, all care recipients had a home care account. Each home care account has an initial balance of zero dollars ($0). This was regardless of when care recipients started their Home Care Package. The home care account held any Commonwealth (CW) unspent funds accrued between 1 September 2021 and 31 October 2025. The home care account will continue to be available to pay for a care recipient’s care and services when needed. Home care account balances will transition to a Home Care Account under Support at Home once a provider lodges their final home care claim.

For care recipients currently in care, service providers will continue to have a limit of 2 years after the end of a payment period to make changes to an event. This can be submitted via the Aged Care Provider Portal (ACPP). When a care recipient departs from a home care service provider, the home care account relevant to the episode of care remains viewable to the departing service indefinitely. The home care account balance is only available to the departing home care service provider to make changes for 70 days. After 70 days, the departing home care service provider is unable to claim for the care recipient and/or make any changes to events. All requests beyond the 70 days and 2 years period must include relevant supporting evidence.

Requests beyond 70 days must be genuine cases of administration errors on Services Australia’s part. See Home care accounts in the Aged Care Staff Portal (ACSP) and Maintaining CW unspent events in the Aged Care Staff Portal (ACSP) for information about time limits for aged care providers to make changes to events.

For care recipients who move to a new home care service within 70 days from the departure date, the home care balance is transferred to the new service on day 71. If the care recipient does not move to a new home care service by the end of the 70 days from the departure date, the amount of the home care balance is set to zero ($0) and the balance is returned to Services Australia.

A care recipient’s home care account can be found in the Aged Care Staff Portal and the Aged Care Provider Portal (ACPP). See the Process page for the steps.

From 1 September 2021, the amount of home care subsidy that was payable to a service provider for providing care in a payment period was calculated as follows:

• The Commonwealth (CW) contribution amount plus the home care account balance equals the maximum contribution amount
• The invoice amount minus the CW unspent amount (if opted in) minus any care recipient’s contributions (Income Tested Care Fee (ITCF)) equals the shortfall amount
• The lesser of the maximum contribution amount and the shortfall amount equals the amount of home care subsidy payable to the service provider. This is shown as the ‘payment determination’ on the payment statement

The CW contribution amount is equal to:

• The basic subsidy amount
• Plus any primary supplements
• Minus any reductions in subsidy
• Plus any other supplements

Prior to 1 September 2021, home care subsidies payable to a service provider were calculated as follows:

• The basic subsidy amount
• Plus any primary supplements
• Minus any reductions in subsidy
• A compensation payment reduction where a care recipient is in receipt of a compensation entitlement that covers home care, or
• A care subsidy reduction where a care recipient has income above a certain amount, and is required to pay an ITCF
• Plus any other supplements such as a hardship supplement for care recipients in financial hardship, or a viability supplement for care recipients living in regional and remote areas

Service providers are paid for the services they have delivered up to the limit of the maximum contribution amount for the month. If the shortfall amount exceeds the maximum contribution amount, the service provider can draw down on (that is, use) any care recipient portion of unspent funds they may hold (if any).