Nursing home vs aged care home: what is the difference?
Our Mate editorial team.Last reviewed August 2026.
In Australia today, "nursing home" and "aged care home" describe the same thing: a place where an older person lives permanently and receives accommodation, meals, personal care and access to nursing care, with staff on site around the clock. "Nursing home" is the older, everyday word that most Australians grew up with. "Residential aged care home" is the current official term, and it is the one My Aged Care, the government and providers use. There is no separate class of facility called a nursing home in the Australian aged care system.
That matters more than it sounds, because families often go looking for two different things and find only one. Someone will be told a parent "needs a nursing home, not just a hostel," then discover that neither word appears on any current form. This guide explains where the old terms came from, what a residential aged care home actually provides, and which words are still worth knowing when you are comparing options.
Why one thing has two names
The two-name problem is a leftover from how aged care used to be organised. Before the Aged Care Act 1997, Australia funded and regulated two distinct kinds of places:
- Nursing homes, for people who needed nursing care and a high level of daily assistance.
- Hostels, for people who mainly needed help with personal care, meals and daily living, but not nursing.
The Aged Care Act 1997 folded both into a single, regulated category: residential aged care. Later reforms went further and removed the formal split between "low care" and "high care" places, so one home can now keep caring for a resident as their needs increase rather than moving them on. That principle is often called ageing in place.
So the distinction the old words carried is genuinely gone. What survives is the habit of speech. Families, GPs, hospital social workers and even some providers still say nursing home, and they mean a residential aged care home.
What a residential aged care home actually provides
A residential aged care home bundles a place to live with the care that goes with it. In broad terms that means:
- Accommodation, usually a private room, with cleaning, laundry and maintenance.
- All meals, including modified diets and help with eating where it is needed.
- Personal care: showering, dressing, toileting, continence support, mobility assistance.
- Nursing care, either delivered by staff at the home or coordinated with visiting clinicians.
- Access to allied health, such as physiotherapy and podiatry. Our guide to allied health for older people explains who these professionals are.
- Activities and social programs, and support to keep up outside interests and visits.
- Staff on site 24 hours a day.
Many homes also run a dementia or memory support area, sometimes a secure part of the building designed so residents can move around safely. Some offer palliative care in place at the end of life, so a resident does not have to move again; our guide to palliative care covers what that involves.
Is there actually a nurse in an aged care home?
This is the real question hiding inside "nursing home versus aged care home," and it is a fair one to ask.
Australian residential aged care homes are subject to government requirements covering registered nurse coverage and the minimum care minutes each resident should receive. These requirements have been tightened by recent reforms, and the exact obligations and how each home is performing against them change over time. Rather than quoting a figure that dates quickly, check two places: the Star Ratings on the My Aged Care Find a Provider tool, which report staffing performance for each home, and the home itself. Our guide to aged care star ratings explains how to read them.
When you visit, ask directly: is a registered nurse on site overnight, how many care staff are rostered on each shift, and what happens if a resident deteriorates at 2am. The answers vary between homes, which is exactly why the question is worth asking rather than assuming.
Words you will still hear
| Term | What it means now |
|---|---|
| Nursing home | Everyday word for a residential aged care home |
| Hostel | Historical term for lower-care residential care; no longer a category |
| Low care / high care | Historical funding split, since removed |
| Ageing in place | A home continues caring for a resident as needs grow |
| Residential respite | A short stay in an aged care home, not a permanent move |
| Memory support unit | A dementia-specific area within a home |
| Extra service | A home or wing offering a higher standard of hotel-type services for an additional fee |
A short stay is worth flagging separately, because families often confuse it with a permanent move. Residential respite is a booked, temporary stay so a carer can take a break or recover; the person goes home afterwards. Our guide to respite care sets out how to arrange it.
What an aged care home is not
Three things get mixed up with residential aged care, and the differences are significant.
A retirement village is not an aged care home. A village sells or leases you independent housing in an over-55s community. There is no funded personal or nursing care included, the contracts are private and governed by state retirement village law, and residents live independently. People sometimes need to move from a village into aged care later. See our guide to choosing a retirement village.
Home care is not an aged care home. Home care brings support to a person in their own house. It suits people whose needs can be met with scheduled visits rather than round-the-clock supervision. Our guide to home care versus residential aged care compares the two properly.
A hospital or hospice is not an aged care home. These provide acute or specialist care for a defined episode; an aged care home is where someone lives.
How someone actually gets a place
The pathway is the same regardless of which word you use for it.
- Call My Aged Care on 1800 200 422, or register online, to start the process.
- Have an aged care assessment. Government-subsidised residential care requires one; many people still call it an ACAT assessment. Our guide to the aged care assessment explains what happens.
- Compare homes on care, staffing, location, dementia support and atmosphere. Our guide to questions to ask when choosing an aged care home gives you a list to take with you.
- Understand the fees before signing. Residential aged care has several separate components, including a basic daily fee, means-tested contributions and accommodation costs. The amounts are set within government rules and change, so confirm current figures with My Aged Care or Services Australia rather than relying on any number published elsewhere. Our guide to aged care fees explains the structure.
To see what is available near you, browse verified residential aged care homes on Our Mate, where listings are checked against official registers.
Frequently asked questions
Is a nursing home the same as an aged care home in Australia?
Yes. In the current Australian system they are the same thing: a residential aged care home. "Nursing home" is the older, colloquial term and "residential aged care home" is the official one used by My Aged Care and providers. There is no separate category of facility called a nursing home.
What is the difference between a nursing home and a hostel?
The difference is historical. Before the Aged Care Act 1997, nursing homes provided nursing and high-level care while hostels provided personal care and daily living support. Both were merged into a single residential aged care category, and the formal low care and high care split was later removed. Neither word is a current category.
Do aged care homes have registered nurses on site?
Australian residential aged care homes are subject to government requirements covering registered nurse coverage and minimum care minutes per resident, and each home's staffing performance is published in its Star Rating. The specific obligations change over time, so check the Star Ratings on My Aged Care and ask the home directly about overnight nursing cover.
Is a retirement village the same as an aged care home?
No. A retirement village is independent housing in an over-55s community, governed by state retirement village law, with no funded personal or nursing care included. An aged care home provides accommodation together with personal care and nursing under the federal aged care system. Some people move from a village into aged care later.
How do I get someone into an aged care home?
Start by calling My Aged Care on 1800 200 422 to register and arrange an aged care assessment, which is required for government-subsidised residential care. Then compare homes, check waiting lists and confirm the fees before signing an agreement. Costs and contribution rules are set by government and change, so check the current amounts with My Aged Care or Services Australia.
Related guides
Home care vs residential aged care: what is the difference?
Plain-language guide to home care versus residential aged care in Australia: how the settings, assessments and fees differ, and how to weigh which one fits.
Questions to ask when choosing a residential aged care home
A practical checklist for visiting and comparing aged care homes in Australia: what to ask about care, staffing, fees, food, safety and culture, and the warning signs to watch for.
How to get a parent into aged care in Australia
A step-by-step guide to the aged care entry process: from the first call to My Aged Care through choosing a facility and understanding the costs.