What is AN-ACC
The Australian National Aged Care Classification (AN-ACC) funding model provides subsidies to approved aged care providers based on service type and each residents’ care needs.
An independent assessor assesses residents’ care needs for care funding purposes.
Care planning is not part of the AN-ACC assessment process and remains the provider’s responsibility.
For detailed information on the funding model, check the AN-ACC Funding Guide.
National Weighted Activity Units
AN-ACC applies weightings or National Weighted Activity Units (NWAU) to the AN-ACC price. The NWAU is a measure of a care service activity expressed as a common unit. The AN-ACC price is the price of a unit of care, or 1.00 NWAU.
The AN-ACC price includes funding to support the delivery, on average, of 200 care minutes, which includes 40 minutes of registered nurse care time.
Individual supplements such as oxygen, enteral feeding, veterans and accommodation will continue on top of AN-ACC funding.
See the schedule of subsidies and supplements for the current AN-ACC price.
AN-ACC funding components
AN-ACC provides funding through 3 components:
- Base Care Tariff subsidy – fixed funding for services based on location and specialisations for homelessness or remote Aboriginal and Torres Strait Islander persons
- AN-ACC classification subsidy – variable funding based on the individual care needs of residents
- initial entry adjustment payment for transitioning a new permanent resident into a service.
Residential respite funding
Residential respite care funding consists of 2 components:
- Base Care Tariff subsidy – fixed funding reflecting the characteristics of the service, identical to Base Care Tariff subsidy for permanent residents
- Respite classification subsidy – variable funding based on the respite care needs of the resident.
A respite accommodation supplement is paid to support accommodation costs for all residential respite residents.
See residential respite care subsidy and supplement rates in the schedule of subsidies and supplements.
Independent pricing analysis
The Independent Health and Aged Care Pricing Authority (IHACPA) provides annual AN-ACC price recommendations.
IHACPA may also recommend changes to the AN-ACC model such as changes to the NWAU values, Base Care Tariffs and AN-ACC classifications.
See the IHACPA website for more information on IHACPA’s pricing activities.
Claims and payments
Services Australia pays AN-ACC subsidies to approved providers. Providers should submit their claims for payments as soon as possible to ensure quick processing.
Providers can use the Services Australia Aged Care Provider Portal to make online claims for AN-ACC subsidies.
AN-ACC Transition Fund
The AN-ACC Transition Fund started on 1 October 2022. It provides financial support to eligible residential aged care providers to ensure they can adjust their business operations and transition smoothly from ACFI to AN-ACC with no impact on their funding, while they continue to deliver services and care. The AN-ACC Transition Fund is not grand-parenting of the ACFI funding model.
Approved providers of residential aged care services that receive less funding under AN-ACC than ACFI may be eligible and invited to apply for the AN-ACC Transition Fund.
From 1 July 2023, the Australian Government is providing a new grant opportunity under the AN-ACC Transition Fund to offer more targeted support to residential aged care services with specific characteristics, such as being located in an isolated community, or larger services in remote and very remote locations, who do not fit into the profile of the current BCT categories.
We will identify eligible providers and invite them to apply for the new grant opportunity under the AN-ACC Transition Fund.
Eligibility will be reviewed monthly for all residential aged care services, and providers newly identified as eligible will be invited to apply.
See the AN-ACC Transition Fund fact sheet for more information.
Approved providers are required to report on residential care income and expenses through the annual Aged Care Financial Report (ACFR) and the Quarterly Financial Report (QFR). Providers are also expected to be transparent with aged care residents and their nominated representatives in developing care plans and delivering care.