Low level and high level care aged care homes provide residential aged care to permanent residents. They are subsidised by the Commonwealth Department of Health and Ageing. These homes are regulated by the Commonwealth Aged Care Act 1997 and Aged Care Principles as well as some State legislation, for example, for building regulations, food handling provisions and registration of staff.

In order to access an aged care home it is necessary to have an assessment by an Aged Care Assessment Team (ACAT) to determine if the person requires low or high level care.

Low Level Care

The accommodation is usually a single room with basic furniture and sometimes an ensuite bathroom. The resident is provided with assistance with day to day living as needed, meals, laundry and cleaning services. Other services available include social activities, diversional therapy, and allied health care, for example, physiotherapy. Personal and some basic nursing care is provided in accordance with specified services.

Low Care Fees

Fees and charges are set by the Deparment of Health and Ageing.

All residents pay a Basic Daily Care Fee which is 84% of the aged pension. This fee is varied according to the Consumer Price Index (CPI) in the same way as the Age Pension. Residents who are part pensioners or self funded retirees, and have a private income, may be assessed by Centrelink and be required to pay an Income Tested Fee. This fee is capped and is reviewed quarterly.

 Almost all residents, depending on their assets, may be asked to pay an accommodation bond to secure a place in the hostel. This is an amount negotiated between the resident and the provider and is refunded when the resident leaves the home; a pre-determined drawdown amount is retained by the provider, as well as any interest earned on the investment of the bond by the home.

The care provider also receives a subsidy from the Commonwealth Government for each resident based on the level of care they required.

For more information call the Department of Health and Ageing 1800 900 554

High Level Care

The resident is provided with a higher level of care based on the resident's assessed needs. A registered nurse  is available on duty 24 hours per day, 7 days per week. Medication management is also available, delivered by qualified nursing staff. Assistance with daily living, social activities, meals, laundry and housekeeping services are provided.

High Care Fees

 High care residents pay the same Basic Daily Care Fee and Income tested fees as low care residents. 

Some residents, depending on their assets, are required to pay an Accommodation Charge as well. This fee is capped and reviewed according to the CPI; it is payable for the duration of the resident's stay in the home.  Some residents may be assessed by Centrelink and be required to pay an Income Tested Fee. This fee is capped and is reviewed quarterly.

In a nursing home the Commonwealth Government subsidies are paid at a higher rate to reflect the higher level of care provided.

Supported Resident

The Commonwealth Department of Health and Ageing makes provision for hostel and nursing home residents who cannot afford to pay an accommodation bond or charge. These residents pay only the Basic Daily Care Fee and the government pays an extra subsidy to the provider on their behalf. An asset assessment is needed to access this assistance.

Ageing in place

A resident receiving low level care whose needs increase may receive high level care in the same home if that home provides ageing in place. Two benefits for residents are that they do not need to leave the home in order to continue to receive the level of care particular to their needs, and those residents who have built relationships with staff and with other residents can maintain those relationships throughout their stay in one aged care home. Each home can choose the range of services it wishes to deliver, it is necessary for the home to have met certain standards in order to be able to provide ageing in place.