18/06/2026
๐๐ง๐๐๐ซ๐ฌ๐ญ๐๐ง๐๐ข๐ง๐ ๐๐-๐๐๐: ๐๐ก๐๐ญ ๐
๐๐ฆ๐ข๐ฅ๐ข๐๐ฌ ๐๐ง๐ ๐
๐ฎ๐ญ๐ฎ๐ซ๐ ๐๐๐ฌ๐ข๐๐๐ง๐ญ๐ฌ ๐๐๐๐ ๐ญ๐จ ๐๐ง๐จ๐ฐ
Choosing residential aged care for yourself or a loved one is one of lifeโs most important decisions. Alongside finding a home that feels welcoming, safe and supportive, many families also want to understand how aged care services are funded and how care needs are assessed.
One term you may hear during the admission process is ๐๐-๐๐๐, which stands for the ๐๐ฎ๐ฌ๐ญ๐ซ๐๐ฅ๐ข๐๐ง ๐๐๐ญ๐ข๐จ๐ง๐๐ฅ ๐๐ ๐๐ ๐๐๐ซ๐ ๐๐ฅ๐๐ฌ๐ฌ๐ข๐๐ข๐๐๐ญ๐ข๐จ๐ง funding model.
While AN-ACC operates largely behind the scenes, it plays an important role in ensuring aged care providers receive funding that better reflects the individual care needs of residents. Under Australiaโs aged care reforms and the new Aged Care Act 2024, understanding AN-ACC can help families feel more informed and confident when navigating residential aged care.
๐๐ก๐๐ญ ๐ข๐ฌ ๐๐-๐๐๐?
AN-ACC is the Australian Governmentโs funding model for residential aged care. Introduced nationally in 2022, it replaced the previous Aged Care Funding Instrument (ACFI).
The purpose of AN-ACC is to provide funding that more accurately reflects the level of care and support a resident requires. Rather than focusing heavily on documentation processes, the model is designed to better recognise the actual care needs of older people living in residential aged care.
Under AN-ACC, each resident receives a classification based on an independent assessment of their care requirements. This classification helps determine the funding provided to the aged care home to support the residentโs care needs.
๐๐จ๐ฐ ๐๐จ๐๐ฌ ๐ญ๐ก๐ ๐๐ฌ๐ฌ๐๐ฌ๐ฌ๐ฆ๐๐ง๐ญ ๐๐จ๐ซ๐ค?
After a person enters residential aged care, an independent assessor conducts a funding assessment.
Importantly, the assessor is separate from the aged care provider, helping to ensure the process is objective and focused on the residentโs needs.
The assessment considers factors such as:
Physical ability and mobility
Cognitive function and memory
Behavioural support needs
Mental health and emotional wellbeing
Complex clinical care requirements
Following the assessment, the resident is assigned an AN-ACC classification that reflects their level of care need.
๐๐ก๐๐ญ ๐๐จ๐๐ฌ ๐๐ก๐ข๐ฌ ๐๐๐๐ง ๐๐จ๐ซ ๐๐๐ฌ๐ข๐๐๐ง๐ญ๐ฌ ๐๐ง๐ ๐
๐๐ฆ๐ข๐ฅ๐ข๐๐ฌ?
For families, one of the most important things to understand is that AN-ACC is primarily a funding mechanism. It is not a rating of a personโs worth, independence or quality of life.
Instead, it is a way for government funding to better align with the care resources required to support each resident.
A higher care classification generally means the resident requires more intensive support, clinical care or supervision, resulting in additional funding being provided to the aged care home.
This funding helps providers deliver services such as:
Personal care assistance
Nursing care
Dementia and cognitive support
Mobility and falls prevention programs
Clinical monitoring and complex care management
๐๐ข๐ฅ๐ฅ ๐๐-๐๐๐ ๐๐๐๐๐๐ญ ๐๐ก๐๐ญ ๐
๐๐ฆ๐ข๐ฅ๐ข๐๐ฌ ๐๐๐ฒ?
For most families, AN-ACC does not directly determine the fees they pay.
Accommodation payments, basic daily fees and any applicable means-tested contributions continue to be assessed through separate government arrangements.
Instead, AN-ACC determines the level of government funding paid to the aged care provider to support the residentโs care needs.
This means families can be reassured that a resident with more complex care requirements attracts additional funding intended to help ensure appropriate staffing, clinical care and support are available.
๐๐จ๐ฐ ๐๐จ๐๐ฌ ๐๐-๐๐๐ ๐๐ฅ๐ข๐ ๐ง ๐ฐ๐ข๐ญ๐ก ๐ญ๐ก๐ ๐๐๐ฐ ๐๐ ๐๐ ๐๐๐ซ๐ ๐๐๐ญ ๐๐๐๐?
The new Aged Care Act 2024 places a stronger emphasis on the rights, dignity, wellbeing and individual needs of older people.
While AN-ACC remains the residential aged care funding model, it operates within a broader reform environment that focuses on:
Person-centred care
Higher quality and safety expectations
Greater transparency and accountability
Improved clinical governance
Stronger protections for older people
Together, these reforms aim to ensure funding, care delivery and regulatory oversight are better aligned with the needs and expectations of residents and their families.
๐๐ก๐๐ญ ๐๐ฎ๐๐ฌ๐ญ๐ข๐จ๐ง๐ฌ ๐๐ก๐จ๐ฎ๐ฅ๐ ๐
๐๐ฆ๐ข๐ฅ๐ข๐๐ฌ ๐๐ฌ๐ค?
When considering residential aged care, families may wish to ask:
How are residents assessed after admission?
How does the home respond when a residentโs care needs change?
What clinical services are available onsite?
How does the organisation monitor quality and safety outcomes?
How are care plans reviewed and updated?
A quality aged care provider should be able to explain these processes clearly and demonstrate how care is tailored to each residentโs individual circumstances.
๐๐จ๐จ๐ค๐ข๐ง๐ ๐๐๐ฒ๐จ๐ง๐ ๐
๐ฎ๐ง๐๐ข๐ง๐
While AN-ACC is an important part of the aged care system, families should remember that funding classifications tell only part of the story.
The culture of the home, the quality of relationships, staff experience, clinical expertise and the overall wellbeing of residents are equally important considerations.
The best aged care communities combine strong clinical care with compassion, dignity, meaningful engagement and a genuine commitment to helping older people live well.
If you are exploring residential aged care options for yourself or a loved one, understanding AN-ACC can provide reassurance that care funding is designed to better reflect individual needs while supporting the delivery of safe, high-quality care.
https://www.leighplace.com.au/understanding-an-acc-what-families-and-future-residents-need-to-know/
