About the audit requirements
We are improving how we monitor the care minutes delivered to older people in residential aged care homes.
Your Aged Care Financial Report (ACFR) now includes the care minutes performance statement (CMPS). You must engage an external registered company auditor, or otherwise approved by the department in line with section 166-355 of the Rules, to audit your CMPS and submit this as a part of your ACFR submission.
The CMPS represents the finalised view of care minutes performance across the ACFR year. For the 2025-26 ACFR only, the CMPS will cover quarter 3 and quarter 4 of 2025–26 and registered nurse (RN) coverage data from November 2025.
This requirement supports accurate reporting of care time delivery to the Australian Government. It protects the integrity of the care minutes supplement, introduced on 1 April 2026, and related transparency measures, like Star Ratings.
This does not affect your existing reporting obligations through the Quarterly Financial Report (QFR)and 24/7 RN reporting.
To assist providers with the first CMPS process, we have created a frequently asked questions (FAQ) document. The CMPS FAQs will be kept up to date as questions or issues are raised with us. These will be used to update guidance for future reporting and processes.
Watch the video for an overview of your new requirements.
The Government has introduced changes to how residential aged care providers are funded, based on their reported care minutes.
From April 2026, funding for non-specialised aged care homes operating in metropolitan, Modified Monash, or MM1 Classification areas will change. Part of the Base Care Tariff is being replaced with a new care minutes supplement, based on your performance against the care minute responsibility.
This funding policy aims to increase care minute compliance and to make sure the government is only paying for delivered care minutes.
To make sure we pay you the right amount, all aged care providers must complete an annual Care Minutes Performance Statement and have it externally audited under the Assurance Standard ASAE 3000.
This statement will cover care time and expenses, registered nurse coverage, and occupied bed days. The first statement will cover the 2025-26 financial year and will be submitted in the Aged Care Financial Report. The department will use this to make sure your care minutes supplement payments for the year were accurate. Completion of the statement will be an ongoing, annual requirement, so that providers receive the correct funding and the department has assurance on what is being reported.
You will need to engage an external auditor to audit the Statement under the ASAE 3000 Standards. You should talk with your existing auditor to see if they can perform this engagement, or if you need to engage another provider.
To prepare for the audit and minimise potential misreporting, you should:
- Stay up to date with regular reporting responsibilities
- Make sure records are complete and stored appropriately and,
- Talk to your auditor early, to find out what they need.
We have published guidelines and a webinar on our website to help you complete the statement and meet the audit requirements. Following these guidelines will make sure the statement is completed correctly and that you receive the right payment.
To learn more about these changes, visit the Department of Health, Disability and Ageing website.
Who is affected
This is an annual requirement for all registered providers of residential aged care as part of their ACFR submissions.
When will it start
The first CMPS forms part of the 2025–26 ACFR, due on 31 October 2026 for registered providers reporting on a standard financial year cycle. The CMPS will then remain an ongoing requirement of the ACFR in future years.
What to include
You need to report the following information for the home/s you operate in your CMPS:
- quarterly labour costs – direct care (inclusive of both employee and agency)
- labour worked hours – direct care (inclusive of both employee and agency)
- monthly 24/7 RN coverage percentage
- quarterly occupied bed days
The CMPS template will automatically calculate your quarterly direct care minutes (worked) per occupied bed day based on the information you report in your CMPS.
It also includes a section where you can explain any differences between the information reported in your CMPS compared to information reported in previous QFRs relevant to your ACFR submission.
Refer to the Care Minutes Performance Statement template.
What providers need to do
You will need to:
- appropriately maintain your records to accurately complete your CMPS for the relevant financial year
- report actual labour costs and hours for each relevant quarter
- engage a registered company auditor, or otherwise approved by the department in line with section 166-335 of the Rules, to complete an audit of the CPMS
- complete the audited CMPS section of your Aged Care Funding Report
- explain differences between information reported in your CMPS and in previous QFRs in the relevant section of the CMPS
- attach the completed audit opinion to your ACFR submission through the Forms Administration online portal
Do not report the exact figures from previous QFR submissions into the CMPS. Before completing your CMPS, check the information against your supporting records to ensure it is accurate. We acknowledge that differences may arise between the CMPS and QFR reporting due to payroll adjustments and late invoices.
Following validation of your ACFR and CMPS data, we will contact you if we require any additional clarification on your submission or if you are required to resubmit any previous QFRs.
Homes that have received the care minutes supplement may have their supplements recalculated if the reported care minutes performance in their CMPS is different to previously reported information in their QFRs.
Find out more about how to prepare for new reporting requirements.
What auditors need to do
Only a registered company auditor, or otherwise approved by the department in line with section 166-335 of the Rules, can be engaged by a registered provider to audit the CMPS for the home or homes they operate. The audit must be conducted under the assurance standard ASAE 3000 Assurance Engagements Other than Audits or Reviews of Historical Financial Information.
Become familiar with the audit report templates that have been prepared by the department.
Refer to the auditor guidance to understand what the process involves.
Find out more about care minutes in residential aged care.
Resources
Care Minutes Performance Statement – template (updated)
Care Minutes Performance Statement – guidance for providers
Audit requirements for Care Minutes Performance Statement – guidance for auditors
Care Minutes Performance Statement – audit report templates
