What is a Home Care Package Provider Exit Fee?

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Wondering what a Home Care Package Provider exit fee is? Many Providers will charge these, although they aren’t required to because it’s an incentive to stop you from switching from them. That’s why it’s important to be aware of exit fees before selecting the right Provider for you.

1. Not all Providers charge an Exit Fee.

A lot of Providers will require you to pay an Exit Fee if you leave them and contrary to what some will tell you, this is not a Government requirement.

The amount is intended to allow Providers to recover administrative costs. Some people also see it as a way of manipulating you into staying with the Provider and you can question if you believe this to be ethical.

When you are choosing a Provider make sure to ask whether you will be charged an Exit Fee. At Let’s Get Care we don’t charge an exit fee because we don’t choose to charge any hidden fees. For more on our pricing, check out the following link: https://letsgetcare.com.au/pricing/

2. The amount will be taken from your unspent funds.

The exit fee will be taken by the Provider from the funds you have left in your Package. If you have no funds left over they cannot charge you a fee.

There are cases where a client is told by their Provider that they must have a certain amount of funding accrued just in case they decide to leave.

This is not true. Your funding is for YOU. If you are with a Provider who is doing this, find one who won’t.

3. The Provider must publish their maximum fee on My Aged Care.

Your Provider is required to update their maximum exit amount through the My Aged Care Portal. You can check this out here: https://www.myagedcare.gov.au/find-a-provider/

If their fee is not listed then they cannot charge you.

When picking a Provider make sure to check on the My Aged Care portal if their exit fee is recorded.

4. It must be disclosed in your Home Care Agreement.

The amount must be mutually agreed with the Provider and Client and included in your agreement.

This ensures that you are aware of the maximum exit amount that may be deducted if you decide to change providers or leave home care.

If it’s not in your agreement, they can’t technically charge it because this is a regulation from My Aged Care.

5. There is no cap on the exit amount, but it cannot exceed:

  • Published exit amount at the time the Home Care Agreement was entered into.
  • Home Care Agreement exit amount.
  • Your unspent home care funds amount.

For example:

 

 

Client A Client B Client C
Published maximum amount on My Aged Care: $500 $500 $500
Negotiated exit amount in a client’s Home Care Agreement: $250 $250 $250
Unspent home care amount: $150 $500 $0
Exit amount that can be deducted: $150 $250 $0

 

At Let’s Get Care we don’t charge our clients an exit fee so if you are looking for a Provider, make sure to ask if they do.

If you are Switching to another Provider you should ask for a statement of your unspent funds and question the exit fee they will charge you.

Remember, the funding is YOURS and try and choose a Provider who understands that.