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Australian Government Department of Health: Message to the Aged Care Sector

Indexation rates for Residential Aged Care and Home Care Packages and changes to the Maximum Permissible Interest Rate (MPIR)

An update of the schedules for residential and home care fees and charges, as well as subsidies and supplements will take effect from 1 July 2019. This is in line with changes to the age pension and indexation rates.

The new rates are now available on the department’s website

The Department of Human Services’ quarterly review of fees and charges for all care recipients will be effective from 1 July 2019. Care recipients and providers will receive letters letting them know if there is a change to a person’s fees and charges or if a refund may be due.

Schedule of fees and charges

View the updated Schedule of Fees and Charges for:

  • Residential and Home Care recipients who started care on or after 1 July 2014
  • Aged care home residents who entered care before 1 July 2014.

From 1 July 2019 the rate of basic daily fee to be charged depends on the home care package level. These rates are listed on the schedule of Fees and Charges.

Schedule of subsidies and supplements

View the updated Schedule of Subsidies and Supplements.

Indexation of residential aged care subsidy has been applied to the 1 July 2018 subsidy rates.

The additional subsidy that was paid temporarily for the Quality Care Fund from 20 September 2018 and the general subsidy boost paid from 20 March 2019 both ended on 30 June 2019.

Indexation of home care subsidy has been applied to the 1 July 2018 package rates. In addition, the subsidy for level 1, level 2, and level 3 home care packages has been further increased from 1 July 2019 to compensate for the decrease in the rate of basic daily fee payable for those home care packages.

Decrease to MPIR from 1 July 2019

The MPIR decreases to 5.54% for the period 1 July to 30 September 2019 for:

  • refundable deposit balances and accommodation bond balances
  • accommodation prices.

The Base Interest Rate remains unchanged at 3.75%.

View current and past refundable deposit balances and accommodation bond balance refund interest rates.

Providers must ensure published accommodation prices are accurate and up to date on:

  • the My Aged Care website. If you have any questions call My Aged Care on 1800 836 799.
  • their own website including any relevant written materials.


Department of Health

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