Demystifying Home Care Package Fees
Time and time again, we hear that the process of searching for a home care provider can be quite a challenge. Costs and the terms used to describe costs can vary from one provider to another. For this reason, the Government has asked home care providers to publish their pricing information in a new standardised pricing comparability schedule on the My Aged Care Service Finder.
Some aspects of home care pricing may be more confusing than others, so we thought we would give you a run down. Here are some fees you should be aware of:
The Basic Daily Fee:
- Costs about $140 per fortnight (out-of-pocket) and is used to purchase additional hours of care.
- Not all providers charge this fee.
- The Government has just reduced it by up to $1.10 per day.
- Anglicare doesn’t charge this fee.* You are welcome to purchase additional hours of care if you wish to do so.
*subject to government directive
Establishment and exit fees:
- These are fees to set up your services and transfer your package to another provider.
- There’s a lot of work that goes on in the background when transferring packages. The exit fee ensures a swift process.
- When shopping for a provider, make a note to ask them how long they take to release the package to the new provider, should you decide to switch. A provider may not charge the fee but take weeks if not months to transfer you. All the while you will pay them ongoing fees.
- Anglicare doesn’t charge an establishment fee but we do charge an exit fee of $500 which always comes out of the home care package and never out-of-pocket. If you don’t have funds remaining in your home care package, we won’t charge the fee.
Product bundle offers:
- Some providers offer you ‘off-the-shelf’ service bundles and while this may appear to be less complicated and offer you more value, in many cases it can mean that you pay for services you don’t actually use.
- Providers who offer service bundles will often charge you the same, whether you use a portion, or all of the services in the bundle. It’s something to be aware of when you are selecting a provider.
- If your provider offers service bundles, you may want to check what you’ll pay if you don’t use all of the services, or if you are on hospital or social leave.
- At Anglicare, we tailor your package to suit your needs. In consultation with you, we will develop a care plan that suits you, and you will pay for what you use.
- The hourly rate charged by providers can vary considerably. It can range from $30 to $100 and more.
- In the case of care worker hourly rates, the variance is largely due to the structure under which the staff are hired. Some providers hire care workers under a self-employment structure where they encourage them to set their own hourly rate and work under an ABN.
- Under a self-employment structure, the provider does not pay superannuation, annual leave, sick leave, travel expenses, phone expenses, penalty rates, and many other benefits. In addition, the care worker is normally expected to pay a provider’s commission of about 5%.
- The hourly rate can also vary from one service to another, so it’s important to look at all the services you need, to determine the total cost.
- At Anglicare we offer our care workers above award wages, secure employment, and all the benefits listed above as well as ongoing, extensive training. We care for those who care for you, and when it comes to your health and well-being, it pays to consider the quality of care offered, not just the hourly rate.
Anglicare’s Care Consultants are on hand to discuss fees and services with you. Call 1300 111 278 or contact us via our website. Better yet, come see us at the free My Future, My Choice Sydney Seniors and Disability Expo on Friday or Saturday, September 13 and 14, Exhibition Hall 4, Sydney Showground. Register here.