MenuThe Federal Government’s Independent Review of Residential Aged Care Accommodation Pricing has endorsed the need for clearer boundaries between information and financial advice, with a recommendation that financial advice on aged care be limited to licensed advisers holding an aged care specialist designation.
It reinforces the findings of the recent white paper by Aged Care Steps[1] on the regulation of aged care financial advice and supports the Financial Advice Association Australia’s (FAAA) aged care specialist designation.
Sarah Abood, CEO of the FAAA, said: “The recommendations would lead to a clearer, safer pathway for older Australians, enabling these people to make more effective aged care decisions. This is particularly critical as Australia’s population ages – the proportion of people aged over 85 is one of the country’s fastest growing demographics.”
The review highlights the challenges older people face in understanding the costs and financial impact of residential aged care accommodation, often leading to aged care providers and other unlicensed players being asked for information and guidance bordering on, and sometimes crossing into, personal financial advice.
It recognises that aged care providers, Aged Care Specialist Officers (ACSOs) and Financial Information Service (FIS) officers are limited to the provision of information, not financial advice. It also states that aged care providers must ensure their staff do not provide financial advice and that any information about aged care costs remains accurate and factual.
Louise Biti, director at Aged Care Steps, said that the report validates long-standing concerns about the risks created when aged care staff attempt to guide families through complex financial decisions.
“This report reinforces what our White Paper made clear – aged care financial advice must be delivered by registered financial advisers with specialist training. Aged care providers and FIS officers play an important role in providing information, but they need clear boundaries and safeguards to ensure they don’t inadvertently step into financial advice,” Biti says.
The Review also proposes a requirement for advisers to complete and maintain specialist training and qualifications to provide aged care financial advice. The Review specifically recognises the FAAA’s Aged Care Specialist designation, with education delivered through the Aged Care Steps Accredited Aged Care Professional™ program, and it calls on the Department of Health, Disability and Ageing to work with the FAAA to ensure advisers have access to accurate, up-to-date training.
Abood says: “We welcome the Review’s recognition of the FAAA Aged Care Specialist designation, with education provided by Aged Care Steps, and the call for a stronger focus on specialisations. This is essential to protecting older Australians and ensuring they receive high-quality financial advice on aged care. We would welcome the opportunity to work with the Department and Government to ensure aged care specialist designations are recognised appropriately in financial advice licensing requirements.”
Anyone seeking specialist aged care advice can use the FAAA Find a Planner service at https://faaa.au/find-a-planner/ and search for a licensed adviser who holds the Aged Care Specialist designation.
[1] The Risk of Unregulated Aged Care Advice: Protecting Older Australians
and Ensuring Quality Advice, Aged Care Steps Pty Ltd, January 2026