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How aged care providers price their services is about to matter more than ever. From 1 November 2025, Support at Home will replace Home Care Packages (HCP) and Short-Term Restorative Care (STRC), requiring providers to publish clear, unit-based prices for all services, including care hours, meals, and transport. Then, from July 1, 2026, government-imposed price caps will come into effect, adding another layer of compliance.

Providers will need to demonstrate that prices accurately reflect the actual cost of care, while avoiding hidden charges and inconsistent pricing. Transparency, documentation, and compliance will be key to maintaining both client trust and regulatory approval.

Read on to learn how the new pricing model works, what makes a ‘reasonable’ price and the risks to watch out for. 

How the new pricing model works

The new pricing model is designed to make costs more transparent for clients, while also holding providers accountable for how those prices are set and communicated. Here’s how Support at Home pricing works:

Clear unit-based pricing

Provider pricing under Support at Home will no longer be bundled or hidden within package balances. Instead, services must be costed and billed on a clear unit-of-service basis.

This means providers will need to publish and charge for services such as:

  • Per hour of care
  • Per trip for transport
  • Per meal delivered

Providers also have flexibility in setting unit prices. They can:

  • Charge for shorter or longer increments (15 minutes, 30 minutes, 2 hours, overnight)
  • Apply different rates depending on the day of the week, time of day or type of service (such as specialised meal options)

However, providers must always bill only for the actual time or service delivered and be able to justify any variations.

True cost of delivery

Every price must represent the full cost of delivery, including administration and overheads, instead of passing these costs through as separate or hidden fees. Costs such as package management and travel, which could previously be charged separately under HCP, must now be included in the unit price.

You can compare your pricing with indicative prices that might be charged from 1 November 2025 to see how it aligns with the broader market.

Billable time and documentation

A key shift is that face-to-face time with clients is billable, while any time not spent directly with clients must be clearly justified. For example, scheduling or care coordination hours will need transparent documentation if they are to be included in a price structure.

Care management is an exception, as it can be billed on an hourly basis for both direct and indirect activities. However, from July 2025, funding for care management will be capped at 10% of each participant’s budget and pooled across clients. Investing in care management software can help you adapt to these pricing changes and streamline billing.

What makes a ‘reasonable’ price?

Under Support at Home, a ‘reasonable’ price isn’t about what clients are willing to pay; it’s about whether the charge can be justified against the real cost of delivering the service. 

Providers will need to carefully document how each unit price is built, taking into account:

  • Labour costs — including wages under the SCHADS Award, leave entitlements and on-costs such as superannuation and insurance.
  • Administrative overheads — from rostering and scheduling to IT systems and compliance activities.
  • Scheduling inefficiencies — for example, the unavoidable travel time between clients.
  • Subcontractor fees — if services are outsourced, those costs must be transparently included.
  • Remote or rural loadings — additional expenses tied to service delivery in harder-to-reach locations.
  • Package management — which must be factored into the unit price rather than charged separately.
  • A margin to cover the cost of capital — such as vehicles, equipment or facilities used in delivering the service.
  • Transition costs — where they directly relate to the delivery of services under Support at Home, these can be included in pricing provided the overall price remains reasonable.

If a provider receives grant funding, this must also be factored into pricing models to avoid double-dipping.

Importantly, the Aged Care Quality and Safety Commission (ACQSC) will be monitoring provider payment arrangements. Providers should expect that ACQSC may request cost justifications, especially if a published rate appears higher than industry benchmarks or out of step with government price caps. The Commission has compliance powers, which means providers who cannot justify their prices may face a non-compliance notice, be required to adjust their prices or even receive an infringement notice.

In short, a reasonable price can be clearly explained, defended with data and linked directly to the resources required to deliver safe, quality care. Using clear evidence will make these justifications stronger and reduce the risk of compliance action.

Pricing risks: What to avoid

Providers need to be aware of common pitfalls that can trigger compliance issues or undermine client trust, including:

  • Charging for time not worked — only bill for hours or units actually delivered, with clear documentation for any indirect activities
  • Opaque or inconsistent pricing structures — unit prices must be transparent, clearly published and applied consistently
  • Misalignment between published prices and internal cost models — ensure internal accounting and workforce data support published rates
  • Inadequate documentation of how prices were set — lack of supporting data makes audits difficult and increases non-compliance risk

Avoiding these pitfalls requires careful planning, regular review and reliable care management software to capture and justify pricing decisions.

Timeline of pricing transition

The rollout of Support at Home pricing will follow a clear schedule:

  • By October 2025 — Finalise unit-based prices and publish on My Aged Care
  • 1 November 2025 — Support at Home launches, with new service agreements and pricing in place
  • 1 July 2026 — Government-imposed price caps come into effect; all prices must comply or be reviewed

Providers who start planning early will be better positioned to meet these deadlines confidently.

How MYP can support you through the transition

MYP provides an integrated platform to help providers manage Support at Home pricing and ensure they meet new reporting and compliance requirements. 

Key benefits include:

  • Model cost-based pricing using real workforce and service delivery data to ensure unit prices are accurate and justifiable
  • Manage your Support at Home service list in line with published prices, keeping internal and external documentation aligned
  • Train staff on billing protocols, care delivery expectations and pricing transparency to reduce errors and improve client communication
  • Document and report on cost justifications for audits, making compliance easier and less stressful
  • Streamline client onboarding with updated service agreements and consent processes

MYP also integrates with iinduct, a learning management system for aged care and more. It helps providers deliver targeted staff training, track compliance and maintain auditable records, supporting smooth adoption of new pricing and care standards without adding extra administrative burden.

Your next steps as an aged care provider

To prepare for Support at Home, providers should:

  • Review and document real unit costs for all services
  • Start internal discussions around service-level pricing strategy
  • Identify areas where admin time, travel or weekend loadings impact pricing and plan accordingly
  • Use MYP to test scenarios, plan for government caps and ensure audit readiness
  • Train staff early to ensure a smooth rollout and minimise errors. This enables them to confidently explain Support at Home to clients and their families.

Navigating pricing with confidence 

Support at Home’s pricing model is built on trust, transparency, and accountability. Providers who take a proactive, evidence-based approach to unit pricing can reduce compliance risk, improve client trust and operate more sustainably.

MYP can help you confidently navigate these changes, not just to comply, but to improve care delivery, manage risk and run a sustainable operation. Want to see MYP’s aged care software in action? Book a demo today and discover how MYP can streamline pricing, compliance, and care delivery for your team.

 

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