Home Care Packages Explained: Levels 1–4, Costs & Eligibility

Home Care Packages Explained: Levels 1–4, Costs & Eligibility

A Home Care Package is Australian Government-subsidised funding, paid to an approved provider, that pays for aged care services delivered in your own home. It covers four funding levels, from basic help around the house to high-level clinical and personal care, and it's assessed and allocated through My Aged Care rather than bought directly. 

Key takeaways

• A Home Care Package funds four levels of aged care support at home, from $10,987 (Level 1) to $63,758 a year (Level 4).
• Since 1 November 2025, Home Care Packages sit inside the new Support at Home program — the four levels still exist as "transitioned HCP levels" with the same funding.
• You need an aged care assessment through My Aged Care to be approved for a level, not a doctor's referral alone.
• Costs depend on income: most pensioners pay little to nothing beyond their package; contributions are now calculated as a percentage of each service, not a flat daily fee.
• Sydney and Punchbowl families typically wait weeks to months for a package to activate, depending on level and area.
• Care Steps Australia is an NDIS and aged care provider based in Punchbowl, serving Bankstown, Liverpool, Campsie and south-west Sydney, including multilingual and CALD support.

Need help working out your level or starting an application? Call Care Steps Australia on 02 8201 3100.

Table of Contents

1. What is a Home Care Package?
2. Is the Home Care Package still available in 2026?
3. What are the four Home Care Package levels?
4. What does each level cover in Sydney and Punchbowl?
5. How much does a Home Care Package cost?
6. Am I eligible for a Home Care Package?
7. How do I apply for a Home Care Package in Sydney?
8. How do I choose a provider in Punchbowl and south-west Sydney?
9. FAQ

What is a Home Care Package?  

A Home Care Package is government funding for older Australians who need ongoing support to stay living at home safely. Instead of paying a provider directly, the government pays a set amount into your package each fortnight, and you or your provider spend it on approved services: personal care, nursing, cleaning, transport, home modifications and more. It's different from the Commonwealth Home Support Programme (CHSP), which funds smaller, entry-level help without a fixed annual budget.

Is the Home Care Package still available in 2026?  

Yes, but it now operates inside a bigger program called Support at Home. On 1 November 2025, Support at Home replaced the standalone Home Care Packages Program as the main way older Australians get government-funded care at home. If you already had a Home Care Package, you were automatically moved across as a "transitioned HCP level," keeping the same level and funding amount you had before.

New applicants from 1 November 2025 onward are assessed directly into Support at Home's classification system rather than being assigned one of the four legacy HCP levels. In practice, most Sydney providers — Care Steps included — still talk about "Levels 1 to 4" because that's the funding structure most current recipients are on, and it's the easiest way to explain typical support needs and budgets.

What are the four Home Care Package levels?  

Each level sets an annual funding amount based on how much support you need, from occasional help to daily clinical and personal care.

Figures reflect current transitioned HCP funding levels; your fortnightly budget is this amount divided across the year, minus any income-tested contribution.

What does each level cover in Sydney and Punchbowl?  

Level 1 and 2 packages in Punchbowl and Bankstown typically fund weekly cleaning, shopping assistance, and transport to medical appointments — often just a few hours of support a week. Level 3 adds regular personal care (showering, dressing, medication support) and light nursing visits, suited to someone managing a chronic condition at home.

Level 4 funds daily personal and clinical care, often combined with allied health and equipment, for people who would otherwise struggle to stay at home safely. Across south-west Sydney's culturally diverse suburbs — Punchbowl, Lakemba, Greenacre, Bankstown — matching a client with a support worker who speaks their language and understands their cultural needs makes a real difference to how comfortable that daily care feels, which is part of why Care Steps places CALD-matched staff wherever possible.

How much does a Home Care Package cost?  

Beyond the government-funded package amount, you may pay a personal contribution based on your income, not a flat daily fee. Under Support at Home, contributions are calculated as a percentage of each service — clinical supports (like nursing) attract no contribution, while everyday living services (like cleaning) attract the highest percentage, on a sliding scale tied to your income.

There are two protections worth knowing. First, a lifetime cap: $84,571.66 for anyone who had an approved Home Care Package by 12 September 2024, or $135,318.69 for newer participants under full Support at Home rules, after which you stop paying contributions altogether (Department of Health, Disability and Ageing). Second, a "no worse off" guarantee — if you were already receiving a package before the changes, you won't pay more than you did under the old fee rules. Your exact contribution is calculated by My Aged Care's fee estimator once you're assessed, and providers must give you full pricing in writing before service starts.

Am I eligible for a Home Care Package?  

You're generally eligible if you're aged 65 or over (or 50+ for Aboriginal or Torres Strait Islander people), living at home, and need ongoing support to stay there safely. Eligibility isn't based on age alone — it's confirmed through an aged care assessment, not a GP referral or self-diagnosis.

An Aged Care Assessment Team (formerly ACAT, now often called an aged care assessor) visits you at home, reviews your physical, medical and social needs, and recommends a funding level. People under 65 with disability-related aged care needs may still qualify, though many will be directed toward the NDIS instead if their needs fit that scheme better.

How do I apply for a Home Care Package in Sydney?  

1. Register with My Aged Care — call 1800 200 422 or apply online to start your assessment.
2. Complete your assessment — an assessor visits your home in Punchbowl, Bankstown, Liverpool or wherever you live to evaluate your needs.
3. Receive your approval letter — this confirms your funding level and adds you to the national queue.
4. Wait for a package to be assigned — Sydney wait times vary by level and demand, typically weeks for lower levels and longer for Level 3–4, so apply as early as symptoms or risk appear, not only in a crisis.
5. Choose a provider — once assigned, you have up to 56 days to select a provider and start services before funding can be reassigned.

How do I choose a provider in Punchbowl and south-west Sydney?  

Ask a short list of practical questions before signing on: what percentage of your package goes to administration and case management fees, whether staff are matched for language and cultural background, how quickly they can start services, and whether clinical care is led by registered nurses or subcontracted out.

Care Steps Australia is based in Punchbowl and already supports families across Bankstown, Liverpool, Campsie and the wider Canterbury-Bankstown area, with clinically-led care and multilingual support workers who understand the local community.

Get help starting your Home Care Package

Working out your level, eligibility, or fixing a package that isn't delivering shouldn't take weeks of phone calls — and every week you wait is support you're not using. Care Steps Australia's Punchbowl-based clinical team can review your situation and get you moving, in your language if you need it.

Care Steps Australia 48 Lancaster Avenue, Punchbowl, NSW 2196 Phone: 02 8201 3100 · Email: info@carestepsaustralia.com.au Contact us today for a free, no-obligation chat about your Home Care Package.