Starting this November, older Australians will face a significant shift in their home care arrangements. The Albanese government’s new aged care reforms are set to change how many elderly people pay for in-home services. While there are no new charges for clinical care, the reality is that many everyday tasks—things like getting help with showers or cooking—will come with a hefty price tag.
A Steep Financial Burden
These changes, part of a broader overhaul of the aged care system, come with mixed reactions. For one, new entrants into the aged care system will no longer receive government-funded support for non-clinical services, even if they’re struggling with basic activities of daily life. Pensioners and retirees, regardless of their financial background, will have to pay a portion of their care costs, determined by their income and assets. The government says this is necessary to ensure the sustainability of the system as more Australians age, but not everyone is convinced.
Real-Life Impact: Doug Taylor’s Story
For people like Doug Taylor, nearly 80, who has been caring for his wife Eileen, who suffers from dementia, the new system is a cause for concern, reports Abc.net. Doug himself is battling prostate cancer and osteoarthritis, yet he faces long waiting times—nine months to a year—for his home care assessment. When he eventually gets support, he’ll be required to contribute financially to services like help with daily hygiene, which, in his case, includes paying for someone to assist with showers.
The Cost of Everyday Care
The financial burden for some could be steep. For example, services like personal care—such as assistance with showers—could cost up to $50 an hour for part-pensioners and all self-funded retirees. For domestic tasks like cleaning or laundry, that number could climb even higher, to $75 an hour. These figures are causing some real worry. As Beverly Baker from the Older Women’s Network points out, some pensioners will be faced with an awful choice: forgo essential care just to put food on the table. This, she argues, is a moral failure.
Even though some people agree that the aged care system needs reform—especially in light of the so-called “silver tsunami” of aging Australians—the way these reforms have been structured is raising alarms. Luke Traini, CEO of Trilogy Care, has voiced concerns that many pensioners and retirees simply won’t be able to afford the co-payments. This could force older Australians into nursing homes or hospitals earlier than they need to be, ultimately costing taxpayers more in the long run.
Critics of the System: A Step Backward?
Meanwhile, the Inspector-General of Aged Care, Natalie Siegel-Brown, has said that the co-payment structure goes against the recommendations made by the Aged Care Royal Commission. She’s worried it could leave the most vulnerable without the support they need, affecting their quality of life and pushing them toward institutional care prematurely.
The introduction of new fees for residential aged care, such as a daily “hotelling supplement” for meals and laundry, is another part of the changes that could cause hardship. And providers can now keep part of the Refundable Accommodation Deposit (RAD), which many families pay to secure a room in a residential facility.
Will the Government’s Support Be Enough?
Despite the backlash, the government maintains that financial hardship assistance will be available for those who need it. But many Australians, like Doug and Eileen Taylor, feel that the changes are simply too much. Doug, for one, is frustrated that recommendations from the Royal Commission, which he believed were supposed to make the system better, seem to have been largely ignored.
