How to set prices
You must set reasonable and justifiable prices for care and services.
To do this, you must ensure prices are:
- value for money
- in line with the resources it takes to provide the care or service
- clear, understandable and transparent
- in the best interests of your care recipients
- in line with program requirements and legislation, including consumer law
- directly related to coordinating care or services funded under the program
- directly related to buying goods to meet the care recipient’s assessed needs and goals
- charged per kilometre (where you choose to charge for staff travel costs).
If you plan to change your prices, you must:
- notify each care recipient
- ensure they understand and agree to the changes
- update their written Home Care Agreement.
Read more about setting prices for:
What you cannot do
When setting prices, you must not:
- charge separate prices for any business-related administration costs (such as business insurance, general training of staff or rent) – you must include these in the unit price for care and services
- misuse market power by setting prices below cost price in a way that lessens competition
- agree to prices with other providers or engage in other anti-competitive pricing behaviour – read more on setting prices: what's allowed
- duplicate charges (for example, by charging for administration in both the direct service unit price and the package management price)
- engage in false, misleading, deceptive or unconscionable conduct through dealings with care recipients or third parties
- charge staff travel costs as a flat rate
- set care or package management prices as an hourly charge, or an hourly price on top of a base care or package management charge
- charge above the caps for care management and package management
- set separate charges for third-party services
- set or charge a separate price for extra care management or package management, such as:
- additional care plan review and development
- extra invoice processing
- charge an exit fee.
If the price differs from your published price
In most cases, you should charge your published price. In some cases, you may need to negotiate a different price. This could be because the care recipient has a particular request or need.
In these instances, you must:
- negotiate and agree the price with the care recipient
- outline the difference in price and why it is different in the Home Care Agreement and individualised budget
- include the pricing schedule as published in the Home Care Agreement.
Pricing reviews
You must:
- keep your pricing information up to date on My Aged Care
- review your pricing information at least once a year
- confirm you have done your annual review in the My Aged Care Service and Support Portal.
Read about how to confirm your pricing review.
Business Advisory Service
You can apply for free, independent and confidential advice from the Business and Workforce Advisory Service. This service can help you to review your operations and improve your business management and financial strategies.
This service is intended to target providers at risk from financial stress, such as providers operating in rural and remote locations and smaller providers.