When you are approved for a Home Care Package (HCP), you have the choice to either manage your package yourself or have a home care provider fully manage it for you.

Understanding the differences, benefits and potential drawbacks of each option is essential to make an informed decision that best suits your needs.

What is a Home Care Package?

A Home Care Package (HCP) is an allocation of funds for home care services. Packages provide individualised care and services for Australians older than 65 who have care needs but wish to remain living independently at home.

There are four levels of Home Care Package, ranging from basic to high-level care. The services you receive are based on your assessed care needs, but commonly include personal care, nursing, cleaning and household tasks, gardening and in-home respite.

Your Home Care Package budget is determined by the package level you’ve been assigned by the Federal Government following a personal assessment. The fees you contribute may include a basic daily fee and an income-tested care fee.

CAREGiver

What is provider-managed home care?

Provider-managed home care is fully managed by your chosen provider.

When you receive a government-subsidised Home Care Package (HCP), it’s up to you to choose your own approved HCP provider. You can also fund your home care privately through some providers. Your selected provider will assign a care manager to oversee the delivery of your care.

No matter which level of Home Care Package you are assigned, with provider-managed home care you stay in complete control of:

  • Your care service provider
  • Who delivers your home care services
  • The type of services you receive
  • When you receive services e.g. day and time
  • Where your services are provided (so you can receive them in the comfort of your own home)

Benefits of provider-managed home care:

  • Professional oversight: Approved HCP providers such as Home Instead provide experienced management and oversight, ensuring a high standard of care and adherence to quality standards. They can also adjust services as your care needs change which may involve supporting you with an HCP re-assessment (if required).
  • Reduced stress: You can focus on your wellbeing rather than the logistics and complexities of care management and caregiver management.
  • Reliability and continuity: Providers can generally provide replacement caregivers in the case of illness or absence, ensuring uninterrupted care.

What is self-managed home care?

Self-managing your Home Care Package can allow for a high degree of control and customisation of the care provided, however, it usually requires considerable time and effort.

Is it cheaper to self-manage home care?

Individuals often consider self-managed home care to avoid paying additional management costs. Self-managing your Home Care Package will avoid care management fees, however, you will still need to pay package management fees to your provider. It is also important to consider all aspects when comparing in home care services, including the cost of time involved in self-management.

Benefits:

  • Freedom of choice: Self-managed home care allows you to actively select what services you want and control how your Home Care Package funds are spent. You can choose the workers who will deliver your in-home care and negotiate how much you will pay.
  • Cost savings: By directly hiring support workers, you may reduce home care costs by avoiding care management fees.

Challenges:

  • Time and effort: Managing your own home care requires significant time and effort in finding and rostering qualified caregivers.
  • Complexity: Handling payments and taxes can be complex and labour intensive. Negotiating pay rates and ensuring uninterrupted care can also be challenging.
  • Risk management: You must assume the responsibility of conducting background checks and ensuring the quality of caregivers.
  • Finding a Home Care Package provider: It can be more difficult to find a provider as not all Home Care Package Providers administer self-managed HCPs. This means you may not be able to use your preferred provider. For example, Home Instead’s model of care doesn’t support self-management in respect to Home Care Packages.

Making the right choice

When weighing up self-managed home care and provider-managed home care, there are various factors to consider, including individual care needs, family resources, and personal preferences.

  1. Assess care needs: Consider the complexity and frequency of care required. High needs may benefit from the professional oversight provided by provider-managed home care.
  2. Evaluate your resources: Determine the availability of time, skills, and willingness to manage care yourself or among family members.
  3. Financial considerations: Compare the costs of both home care options, taking into account potential savings and the value of professional management.
  4. Quality of life: Reflect on the impact each option will have on your quality of life and the affect it may have on loved ones who support you.

It’s important to carefully evaluate your unique situation and priorities, so you can choose whether provider-managed home care or self-managed home care will best meet your needs and enhance your wellbeing, and that of your loved ones.

Home Instead is an approved Home Care Package provider through My Aged Care, delivering relationship-based care for our valued clients through government-funded packages, from levels 1 to 4. Find out more here.