Step 8.1

What is the difference between a Package Provider and a Service Provider?

Difference between a Package Provider and a Service Provider

Through your home care journey, you will see the term “Package Provider” and “Service Provider”.  While they sometimes cross over, they are in fact two very different things.

All Package Providers also provide services which is why there can be a crossover between the two.

Package Provider

A Package Provider is an organization that not only supplies care but also develops and manages your care plan, working with you over the long term. A Package Provider receives your government subsidy and manages all other costs and finances.  You can’t access this subsidy without a Package Provider.  It is their job to provide you with a monthly statement on income and expenditure. 

A Package Provider can also supply services if you wish (but you don’t have to use them just because you are with them). 

Service Provider

A Service Provider is an organization or company, or even an individual who provides a service.  This could be a registered nurse, a physiotherapist, a care worker who does your grocery shopping or someone who cleans your house.  A Service Provider might be a person you’ve used in the past, such as a physiotherapist who has known you over a number of years.  It is your choice if you want to continue with your physiotherapist rather than start with a new one. 

It is possible for you to cherry-pick and to use some services provided by your Package Provider but also continue with Service providers you know and trust.  Indeed, it can sometimes be cheaper to source your own Service Providers than use the ones recommended by your Package Provider, but if this is the case, then you may spend more time helping to manage these selected Service Providers.  Ultimately it will be up to your provider if they will allow you to use the Home Care Package funding to pay for service providers outside of their organisation.

Jill Donaldson

agedcare101 Physiotherapist

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A special thanks to our contributors



Caroline has a wealth of experience writing within the retirement and aged care sector and is a contributing journalist for the and agedcare101 blog and accompanying newsletters.

Ian Horswill


Ian is a journalist, writer and sub-editor for the aged care sector, working at The DCM Group. He writes for The Weekly Source, agedcare101, and the DCM Institute fortnightly newsletter Friday. Ian is in daily contact with CEOs of retirement living, land lease and the aged care operations and makes a new contact every week. He investigates media releases, LinkedIn and Facebook for a good source for ideas for stories.

Lauren Broomham

Retirement and Aged Care Journalist

Lauren is a journalist for, agedcare101 and The Donaldson Sisters. Growing up in a big family in small town communities, she has always had a love for the written word, joining her local library at the age of six months. With over eight years' experience in writing and editing, she is a keen follower of news and current affairs with a nose for a good story.

Jill Donaldson


Jill has been practicing as a clinical physiotherapist for 30 years. For the last 13 years she has worked solely in the Aged Care sector in more than 50 metropolitan and regional facilities. Jill has also toured care facilities in the US and Africa and is a passionate advocate for both the residents in aged care and the staff who care for them. She researches and writes for DCM Media.

Chris Baynes

DCM Media, agedcare101

Chris has been a journalist and publisher in the retirement village and aged care sectors for 11 years. He has visited over 250 retirement villages and 50 aged care facilities both within Australia and internationally. Chris is a regular speaker at industry conferences plus is a frequent radio commentator.

Annie Donaldson

Nurse and Carer

Annie has a long career in both nursing and the media. She has planned and co-ordinated the medical support from both international TV productions and major stadium events. In recent years she has been a primary family carer plus involved in structured carer support.