A plain-English guide to what’s covered, what costs extra, and what isn’t
Most families have a rough idea of what an aged care home is: somewhere a parent moves when they can no longer live safely at home. What is less clear, until you are in the conversation, is what care and other services are actually provided day to day. What is covered as standard. What is not. Whether your loved one will have a nurse available overnight, or only during business hours. Whether therapy is included or charged separately.
This article answers those questions directly – what residential aged care includes as standard, what may cost extra, and where the line falls between what a home provides and what requires an external specialist. Underneath the question is usually a quieter concern: being caught out by a cost you did not expect, or finding that something your loved one truly needs is not included in what the home provides. Knowing where those lines fall before you sign anything is what this guide is for.
What Residential Aged Care Is
“Aged care” is the umbrella term for support services for older Australians, and it covers several different things. Residential aged care – also called an aged care home – is the part that provides full-time support and accommodation for older people who can no longer manage safely at home, even with in-home support in place.
It differs from home care, which supports a person in their own home, and from retirement living, which is independent accommodation for people who are managing well. Residential aged care is for people who need ongoing access to care – personal, clinical, or both – in a supported environment.
In Australia, residential aged care is funded by the Commonwealth Government and is available to people aged 65 and over (or 50 and over for Aboriginal and Torres Strait Islander people). Access requires an aged care needs assessment – previously called an ACAT assessment – confirming that this level of care is appropriate.
It is not free, but it is heavily subsidised. The government pays most of the cost of care; residents contribute too, through a Basic Daily Fee, a payment towards their accommodation, and, depending on their income and assets, a further means-tested contribution towards the cost of their care. (The way this means-tested contribution is calculated changed on 1 November 2025 for new residents.) The full cost picture is its own topic, and our guide to choosing the right aged care home walks through it in detail. The focus here is what that funding actually provides.
What Is Included as Standard
Every person in a government-funded residential aged care home receives the following as part of their care arrangement.
Accommodation and Everyday Living
A room – shared or private, depending on the home and placement type – that your loved one may personalise with some of their own belongings from home. Common areas, gardens, and shared amenities are included, along with the everyday services that keep daily life running: cleaning, laundry, basic toiletries, heating and cooling, and a call system for assistance at any hour.
Personal Care
Assistance with daily living tasks the person can no longer manage independently: bathing, dressing, grooming, toileting, continence management, and mobility support. The level of assistance is tailored to what each person actually needs – for example, a resident who can dress themselves will not be dressed by a personal care worker.
Nursing Care
All government-funded residential aged care homes are required to have a Registered Nurse on site 24 hours a day, 7 days a week, and to deliver a mandated average amount of care time per resident each day, provided by a mix of registered nurses, enrolled nurses, and personal care workers. Nursing care covers wound management, medication administration and oversight, clinical monitoring, and coordination for complex health needs.
Allied Health
Basic allied health access is included. Most homes have a physiotherapist, podiatrist, and speech pathologist available either in-house or on a visiting basis. Occupational therapy is generally available for equipment assessments and safety planning.
How often allied health actually visits differs between homes. If your loved one has an active rehabilitation need or a condition requiring regular intervention, ask specifically how many sessions a resident typically receives and whether they are scheduled proactively or by request.
Specialised Care, Such as Dementia
Many homes also provide specialised care for specific needs – most commonly dementia care, but also care for conditions that need a particular clinical approach. Where this is offered well, it is built into the home’s everyday model of operations rather than added on. CraigCare’s approach to dementia care, for example, is grounded in knowing each resident as a person rather than a diagnosis. If your loved one has a specific condition, ask whether the home has genuine experience with it and what that looks like day to day.
Meals
Three meals a day plus snacks are included, and homes are required to accommodate dietary needs and restrictions. Food quality differs in practice, so it is worth asking whether cooking is done on site and requesting a copy of the current menu or a sample menu. A good home will have an in-house dietitian and will cater for specific dietary requirements – vegetarian meals, for example, or gluten and lactose intolerance. It should also be able to provide all levels of texture-modified diets, following the recommendations of speech pathologists and allied health professionals, so that residents with swallowing or chewing difficulties are properly and safely catered for.
Social and Lifestyle Activities
All homes are required to provide activities and social programming. What this looks like in practice depends on the home. A well-resourced home will have a dedicated lifestyle team running a varied and changing program shaped around residents’ actual interests. Ask what a typical week looks like and who decides what is on the calendar.
Palliative and End-of-Life Support
Residential aged care homes are required to support residents through end-of-life care – managing comfort, coordinating with medical teams, and supporting family. The standard and approach differ from home to home.
What May Not Be Included
Not everything is covered by the standard care arrangement.
- Medications: The cost of prescription medications is generally not included in aged care fees. Residents typically use their existing pharmacy or the home’s preferred provider, with costs billed separately. Pharmaceutical Benefits subsidies continue to apply as normal.
- Specialist appointments: GP visits are usually coordinated through the home, but referrals to specialists – cardiologists, geriatricians, neurologists – involve external appointments billed through Medicare. Transport to and from these appointments may or may not be arranged by the home.
- Higher everyday living services: Many homes offer services that go beyond the standard required by law – an on-site hairdresser, premium meals, a daily newspaper, streaming services in the room, extra one-to-one activities, or social outings. Under the Aged Care Act 2024 these are provided through a higher everyday living agreement, which must clearly set out the type and cost of each service before you agree to it. You cannot be charged for something you have not agreed to, or for something your loved one cannot use.
How Care Is Determined
What each resident receives is set out in a care plan, developed with the resident, family, and the home’s clinical team during the first weeks of admission. The care plan is reviewed regularly and should be updated as needs change.
Under the Aged Care Act 2024, residents have the right to be involved in their care planning and to have a family member or representative involved on their behalf.
What This Means in Practice
Residential aged care covers the essentials: clinical nursing care, personal care, accommodation, meals, and basic allied health. The gaps are primarily around specialist medicine and lifestyle extras.
What really differs between homes – beyond those paid extras – is the quality of what is included. Two homes may both provide around-the-clock nursing care. The difference is whether that nursing team knows your loved one’s name by the end of the first week.
For a step-by-step guide to finding and evaluating aged care homes – including how to read reviews and ratings, understand costs, and use waiting lists – see our guide to choosing the right aged care home.
Our caring Admissions team is here to walk alongside you and your family every step of the way. If you have any questions, you can call our Western Australian team on 0419 856 664 or our Victorian team on 0468 718 856, or submit an online enquiry.