Aged care financial report

Families want simple answers fast. This aged care financial report breaks down the financial report on the Australian aged care sector for 2023–24 and explains why premium, private-style care models often ride out sector bumps better, without you having to worry about day-to-day details.

What the government’s 2023–24 report covers

The Financial Report on the Australian Aged Care Sector 2023–24 (FRAACS) is produced by the Australian Government’s Department of Health and Aged Care. It draws on data submitted annually by aged care providers through the Aged Care Financial Report (ACFR), plus quarterly reporting and other official datasets.

In short: it’s the central report on the Australian aged care system’s financial performance and operations for the financial year 1 July 2023 to 30 June 2024.

The department also requires a Quarterly Financial Report (QFR), which tracks short-term shifts and adds timely financial information alongside the annual ACFR data.

Key sector trends in 2023–24

Residential aged care sector: improving results, rising costs

The residential aged care sector recorded a marked lift in 2023–24 compared with the previous year. The department’s analysis notes a “significant improvement” in average profit measures, helped by funding changes and targeted supplements.

Data shows care-related funding under AN-ACC reached about $19.4 billion and made up roughly two-thirds of provider income, even as expenses rose with higher care minutes and wage decisions. At a sector level, the balance sheet position of approved providers was stronger at 30 June 2024.

Home care and the Commonwealth Home Support Programme (CHSP)

Home care continued to expand, with more packages released during the year to meet demand from older Australians who prefer to stay at home. The Commonwealth Home Support Programme (CHSP) remained the entry-level option that funds light-touch services (think transport, domestic help, respite) to keep people safe and independent.

Multi-Purpose Services (MPS)

In rural and remote regions, Multi-Purpose Services blend health and aged care under one roof so communities can keep essential care close by. There are 180+ sites nationally, and the program’s rules and fees are set by the Australian Government.

How the numbers help you compare providers

The government’s reporting makes it easier to compare providers at both sector and service-level:

• ACFR/QFR: show income, expenses, and financial position (cash, debt, capital) for care providers over time.
• Star Ratings: summarise quality signals (care minutes, residents’ experience, compliance) for each residential aged care home and provider so you can scan options quickly. Use ratings to shortlist, then check the details.

Together, this information reported by the department highlights industry trends, flags risk and gives you insight into sector trends before you book a tour or sign a care agreement.

Why private care models look more resilient

Not all “private” models are the same. Here, we mean providers like Acquaint that run a premium, client-centred approach with clear pricing, efficient systems, and strong continuity of carers.

1. Diversified income and clearer cost control

Private models often blend government funding with transparent top-up services. That mix can cushion providers when subsidies shift, because income isn’t tied to a single source. The 2023–24 analysis shows government streams (like AN-ACC in residential care and package funding in home care packages) remain the backbone, but add-on services, if well priced, can shore up margins without hidden fees.

2. Continuity of care reduces avoidable costs

Keeping the same small team reduces duplication, missed tasks and complaints. Lower churn also helps with care planning and communication to clients and families. That shows up as leaner administration time and steadier financial performance over the year, especially for time-poor families who want support and updates without chasing. (The FRAACS points to rising staffing minutes and wage uplifts; private models that roster smartly can absorb these better.)

3. Staffing mix and career pathways

Resilient providers invest in a balanced team, registered and enrolled nurses, experienced care workers, and plan rosters around client needs, not just a shift template. That keeps quality up and helps with star ratings in residential aged care.

4. Faster response to industry trends

Because private models often report to their board and families in real time, they act on data quickly, changing schedules, adding services, or lifting care minutes when data shows risk. The government’s Quarterly Financial Report gives a similar short-cycle view at the sector level; agile providers mirror this inside their own business.

The bottom line

The 2023–24 aged care financial data shows a system on firmer ground than the year before, with funding reform lifting results and providers investing in care minutes and staff. For families, private-style models that promise consistent carers, transparent pricing, and prompt updates often feel, and prove, more stable through policy shifts and wage changes. Use the government’s report, star ratings, and provider disclosures to identify industry trends and pick the service that fits your parents’ needs.

Calm, consistent care

Chat with our friendly care team and we’ll design a plan that keeps your parents safe, well and comfortable at home.

_{Last updated: June 2025}

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