Postponing the Aged Care Reforms - 1 November 2025
The Australian Government has announced the postponement of the new Aged Care Act from 1 July 2025 to 1 November 2025.
Key Components of the Aged Care Act
Key components include:
- Support at Home Program: Designed to reduce wait times for home care packages and introduce transparent pricing models.
- New Fee Structures: For both residential and home care, with means-tested contributions based on assets and income.
Key Dates and Deadlines
- 1 July 2025: Original commencement date of the new Aged Care Act (now postponed).
- 1 November 2025: New commencement date for the Aged Care Act.
- July 2027: Target date to reduce wait times for home care packages to three months.
Impact on Clients
The delay in the Aged Care Act has several implications for clients, particularly those planning for or currently receiving aged care services.
- Extended Uncertainty: Clients may face continued uncertainty regarding the availability and cost of aged care services. This can make it challenging to plan for future care needs and financial commitments.
- Potential Cost Implications: With the postponement, the introduction of the new fee structures is also delayed.
- Access to Services: The delay in the Support at Home Program means that improvements in wait times for home care packages will also be postponed. Clients requiring home care may experience longer wait times before receiving the necessary support.
- Financial Planning Adjustments: Clients may need to adjust their financial plans to accommodate the delayed implementation of the new means-tested contributions. This could involve reassessing their assets and income to ensure they are prepared for the eventual changes.
- Opportunity for Better Preparation: On a positive note, the delay provides clients with more time to understand the upcoming changes and prepare accordingly. This is something Goldsborough can assist with.
Matthew Kelly CFP®
Representative (No 314983)
