Applies to
Your aged care home will be eligible for the supplement from 1 April 2026 if it:
- is located in metropolitan (MM 1) areas based on the 2023 MMM classifications
- Specialised Base Care Tariff does not receive specialised homeless Base Care Tariff (BCT).
Why the care minutes supplement is being introduced
The Australian Government has made changes to Australian National Aged Care Classification (AN-ACC) funding to lift care minutes compliance for all aged care homes that receive the standard Modified Monash (MM) 1 Base Care Tariff (BCT).
From April 2026, the MM1 BCT funding for these homes will change from 0.5 to 0.387 of the National Weighted Activity Unit. The new care minutes supplement will replace the difference in funding if these homes meet their:
- total care minutes target
- registered nurse (RN) minutes target.
This change will not impact funding for homes with specialised homeless BCT or homes located in regional, rural and remote areas (MM 2-7).
What is the supplement?
From April 2026, the care minutes supplement will fund eligible homes to meet their care minutes.
The supplement is non-means tested and will be funded based on the amount of care minutes and RN minutes that you deliver to residents.
How the supplement will work
The care minutes supplement will be paid on a sliding scale based on:
- the percentage of total care minutes delivered compared to your target
- the percentage of RN minutes delivered compared to your target.
You will receive more funding the closer you were to meeting these targets. The care funding that you currently receive will not change if you deliver 100% of both your total care minutes and RN minutes targets. However, your supplement will be zero if you deliver less than 85% of both targets.
The supplement rate is based on the care hours you report in the Quarterly Financial Report 2 quarters earlier. For example, your care minutes performance in October - December 2025 will determine funding in April – June 2026.
You can use the online care minutes supplement estimator to check the funding you may receive from April 2026. This is an estimator only.
Supplement rates
The maximum supplement rate is equivalent to 0.113 of the National Weighted Activity Unit.
View the current rates in the changes coming to care minutes funding fact sheet.
Special circumstances
Under the new Aged Care Rules, the maximum supplement rate may apply for up to 4 quarters in the following special circumstances:
- new home becomes operational for the first time
- existing home is transferred to another approved provider
- home goes offline and is not operational for a period, before becoming operational again
- home changes from specialised BCT into the standard MM1 BCT category (e.g. homeless status was revoked).
For more information, refer to changes coming to care minutes funding fact sheet.
Getting the supplement
You do not need to apply for the care minutes supplement.
If you are eligible, Services Australia will pay it monthly in line with other residential aged care subsidies and supplements.
Reporting of care minutes
You are required to report your care time through the Quarterly Financial Report. In addition, you are required to submit your audited care time reporting at the end of the financial year through the Care Minutes Performance Statement starting from the 2025-26 Aged Care Financial Report. This includes providing the audit report.
Your care minutes supplement entitlement will be initially calculated off the care minutes performance you reported in your Quarterly Financial Reports.
If you report a different amount of care minutes in your Care Minutes Performance statement than you did in the Quarterly Financial Report your care minutes supplement entitlement will be recalculated.
If your reporting needs to be adjusted following a care time reporting assessment your care minutes supplement entitlement will also be recalculated.
Changes coming to care minutes funding
