What is temporary leave?
Temporary leave refers to the temporary suspension of home care services for some time. This break in services can be initiated by the individual receiving care for any reason. As a home care provider, it is important to refrain from providing services while the individual is on leave.
During the period of temporary leave, there are potential impacts on both
- the subsidy amount provided by the Australian Government
- the fees paid by the individual.
You must communicate the start date of your leave, although this does not necessarily need to be done in writing.
Types of Leave
Individuals receiving home care packages are eligible to take leave for various reasons, including:
- Hospital stays
- Transition care, which typically follows a hospital stay
- Residential respite
- Social reasons, encompassing any other personal reasons for leave.
Please note that prior approval may be required for certain types of leave.
Leave Balances
An individual’s leave balance for each type of leave resets:
- on the 1st of July each year
- if their package level changes at any time.
Leave balances will transfer with an individual if they change providers.
Hospital Leave
Subsidy Payments
During a hospital stay, individuals are eligible to receive full subsidy payments, including any applicable supplements, for up to 28 consecutive days. However, starting on day 29:
- the subsidy is paid at 25% of the basic subsidy rate
- does not include primary supplements
- other supplements are still included
Fee Payments
While on hospital leave, individuals are required to continue paying their basic daily fee. Additionally, they must pay their income-tested care fee for up to 28 consecutive days for each hospital stay. After day 29, the income-tested care fee they pay is the lower amount of either their income-tested care fee or 25% of the basic subsidy rate.
It is important to note that fee structures differ for individuals who entered home care before July 1, 2014. In the event of hospital leave, these individuals can continue paying both the basic daily fee and the income-tested care fee.
Transition Care Leave
Subsidy Payments
During a period of transition care leave, individuals are eligible to receive full basic subsidy payments and any applicable supplements for up to 28 consecutive days. After the initial 28 days, the subsidy amount decreases:
- the subsidy is paid at 25% of the basic subsidy rate
- does not include primary supplements
- other supplements are still included
Fee Payments
While on transition care leave, individuals are not required to pay their basic daily fee. They are, however, responsible for paying their income-tested care fee for the first 28 days of leave. After day 29, the amount of income-tested care fee paid is the lower of either their original fee or 25% of the basic subsidy rate.
It is important to note that individuals who entered home care before July 1, 2014, have different fee structures. If they take transition care leave, they are not obligated to pay any home care fees during this period.
Residential Respite Leave
Subsidy Payments
The government provides full basic subsidy and applicable supplements for up to 28 days of residential respite leave in a financial year. These leave days can be taken intermittently, rather than consecutively.
If an individual exceeds 28 days of residential respite leave in a financial year, the subsidy decreases:
- the subsidy is paid at 25% of the basic subsidy rate
- does not include primary supplements
- other supplements are still included
Fee Payments
During residential respite leave, individuals are exempt from paying their basic daily fee. For up to 28 days of residential respite leave in a financial year, individuals are still required to pay their income-tested care fee, which can be taken non-consecutively.
If an individual exceeds 28 days of residential respite leave in a financial year, the amount they pay for the income-tested care fee is the lower of either their income-tested care fee or 25% of the basic subsidy rate.
Different fee structures apply to individuals who entered home care before July 1, 2014. These individuals are not required to pay any home care fees during residential respite leave.
Social Leave
Subsidy Payments
The Government provides a full basic subsidy and any applicable supplements for up to 28 days of social leave in a financial year. These leave days can be taken intermittently and do not need to be consecutive.
If an individual exceeds 28 days of social leave in a financial year, the subsidy amount decreases:
- the subsidy is paid at 25% of the basic subsidy rate
- does not include primary supplements
- other supplements are still included
Fee Payments
During social leave, individuals are still required to pay their basic daily fee. For up to 28 days of social leave in a financial year, individuals must also continue to pay their income-tested care fee. Similar to the subsidy, these leave days can be taken non-consecutively.
If an individual takes more than 28 days of social leave in a financial year, the income-tested care fee income-tested care fee they pay is the lower amount between their income-tested care fee and 25% of the basic subsidy.
It is important to note that fees may vary for individuals who entered home care before 1 July 2014. In such cases, individuals can continue to pay both the basic daily fee and the income-tested fee during social leave.
What do you need to do?
To ensure compliance with Services Australia regulations, you must report an individual’s leave dates in your monthly claim form. During the period of leave, it is essential to maintain the inclusion of any subsidies, supplements, and fees in their monthly statement, noting that these amounts may be subject to reduction. Additionally, it is crucial to refrain from offering or charging for any services, such as care management and package management, while the individual is on leave. Thank you for your attention to these requirements.