Managing unspent funds in Home Care Packages

Unspent funds are any remaining amounts of Home Care Package subsidy and fees that have not yet been spent on a care recipient’s care. Find out why unspent funds build up and how to better manage packages and budgets.

About unspent funds

Unspent funds are the total amount of Home Care Package subsidy and fees the Australian Government has paid for a care recipient that have not yet been spent. 

Where unspent funds are held

Unspent funds are held by either: 

  • you, the provider – these funds are split into the government (Home Care Package subsidy) and care recipient (fees) portions 
  • the government – in a home care account for the care recipient. 

You must keep track of and report on any unspent funds you hold for a care recipient. You must also report any changes to the amount you hold.  

Where unspent funds are kept will depend on: 

  • If the care recipient entered care from 1 September 2021 OR before 1 September 2021 and you opted to return the government portion to us
    • you hold the care recipient’s portion of unspent funds
    • we hold and track the government portion of unspent funds in a home care account managed by Services Australia.
  • If the care recipient entered care before 1 September 2021, and you did not opt to return the government portion to us
    • you hold all their unspent funds. 

Why unspent funds build up

Unspent funds build up if you have not allocated all the funds in a care recipient’s individualised budget

This can happen if the care recipient: 

  • is planning for future events (for example, to buy equipment or ageing-related home modifications, or to access respite) 
  • has taken temporary leave 
  • has a personal situation that improves 
  • has other care and supports outside of the program (for example, family). 

Planning for future events

You should use a care recipient's budget to meet their current care needs. 

But a care recipient can choose to set aside small amounts for future events, such as respite care. 

These amounts are unspent funds until the future event occurs. 

Temporary leave

Care recipients can suspend their Home Care Package if they take temporary leave

For some types of leave, care recipients will still receive the full Home Care Package subsidy for up to 28 days in a financial year. 

After this, they receive 25% of the basic subsidy. 

These amounts can build up as unspent funds. 

Calculating unspent funds

For guidance on calculating unspent funds and worked examples, go to Home Care Package subsidy estimator and unspent funds examples

How to manage unspent funds

Work with your care recipients to make sure they are getting the full benefit of their Home Care Package to meet their assessed care needs. 

Review their plan and budget

Work with your care recipients to review their care plan and individualised budget. 

Talk about the funds they have available and how to best spend those funds. 

This should be part of your ongoing care discussions with your care recipients. 

Respond to package upgrades

We will let you know if we are upgrading your care recipient’s package based on the outcome of their reassessment, including the date.  

As soon as possible, discuss with your care recipient their assessed care needs and additional services under the new package. 

Find out more about the process for upgrading Home Care Packages.  

If a care recipient leaves your care

If a care recipient leaves your care for any reason, you must transfer or return any unspent funds

Date last updated:

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