Key Takeaways
- Boards must review all financial reports before the June 30 deadline.
- Check that your facility meets all current Quality Standards.
- Verify that staff records and training logs are up to date for the new year.
- Confirm that Refundable Accommodation Deposits (RADs) are managed correctly.
- Use a structured approach to prepare for external audits and reporting.
The end of the financial year is a busy time for providers in Australia. As a board member or executive, you must use a clear EOFY aged care checklist to meet your legal duties. The 2026 deadline brings specific challenges that require your full attention. You need to make sure that your records are accurate and that your facility stays safe for residents. This guide helps you look at the most important areas of your business before June 30.
Introduction to EOFY 2026 Compliance
The end of the financial year is more than just a date for taxes. In the aged care sector, it is a time to show that you are following the law. The Australian Government has strict rules for how you spend money and how you care for people. If you fail to meet these rules, your facility could face fines or lose its license.
Governa AI knows that boards have a lot of work to do. You must look at financial data, clinical results, and staff performance all at once. By following a step-by-step plan, you can make this process easier. This article explains what you need to check to stay compliant and ready for the 2026-2027 year.
Step 1: Finalising Financial Statements and Reports
The end of financial year aged care process starts with your books. Your board must review the financial health of the organisation. This involves looking at profit and loss statements, balance sheets, and cash flow.
- Check the Aged Care Financial Report (ACFR): You must prepare to submit this report. It shows how you used your funds over the year.
- Review Government Funding: Make sure that all subsidies and grants match your resident data.
- Look at Capital Expenditure: Check if the money spent on building repairs or new equipment was within the budget.
- Verify Debtors: Look at any money owed by residents or the government. Make sure you have a plan to collect these funds.
- Check Tax Compliance: Confirm that GST, FBT, and payroll taxes are all paid and recorded.
Your board needs to sign off on these numbers. You should ask your finance team for a clear summary that shows any risks to your budget.
Step 2: Reviewing Aged Care Compliance and Quality Standards
General aged care compliance is a year-round job, but EOFY is the best time for a full review. You must check that your facility meets the Aged Care Quality Standards. These standards focus on the dignity and safety of every resident.
- Review Resident Agreements: Check that every resident has a signed and current agreement.
- Check Incident Reports: Look at the Serious Incident Response Scheme (SIRS) data. Make sure all incidents were reported on time.
- Monitor Quality Indicators: Review data on falls, pressure sores, and weight loss.
- Verify Feedback and Complaints: Look at how many complaints you received and how you solved them.
- Review Policy Documents: Make sure your internal policies match the latest laws from the Commission.
The board should see a report that shows where the facility is doing well and where it needs to improve. This helps you plan your goals for the next year.
Step 3: Audit Preparation for Workforce Records
Good audit preparation starts with your staff. The government wants to know that you have enough workers and that they have the right skills. Your board must check that the workforce plan is working.
- Check Police Clearances: Every staff member and volunteer must have a valid police check.
- Review Training Logs: Make sure staff have finished their required training. This includes fire safety and infection control.
- Verify Nursing Minutes: Check that you are meeting the required care minutes for each resident.
- Review Roster Costs: Look at your spending on agency staff. If agency costs are too high, you may need to change your hiring plan.
- Check Staff Wellbeing: Look at turnover rates and staff feedback to see if your team is happy.
Having these records ready will make an external audit much faster. It also shows that you care about the quality of the people looking after your residents.
Step 4: Prudential Standards and Refundable Accommodation Deposits
If your facility holds Refundable Accommodation Deposits (RADs), you have extra duties. These are large sums of money that belong to the residents. The board must manage this money with great care.
- Review the Prudential Compliance Statement: This must be finished and checked by an auditor.
- Check the Liquidity Management Strategy: Make sure you have enough cash to pay back deposits when residents leave.
- Verify Interest Payments: Confirm that you paid the correct interest on any refunded deposits.
- Look at Investment Rules: Check that you only invested RADs in allowed areas.
- Check the Register of Deposits: Make sure the list of all deposits is accurate and up to date.
Managing this money correctly is a major part of your legal duty. Errors here can lead to serious legal trouble for the board members.
Step 5: Clinical Governance and Risk Management
Clinical governance is about making sure residents get the best care. The board is responsible for the systems that keep residents safe. You should use an aged care compliance checklist to help you track these risks throughout the year.
- Review the Risk Register: Look at the biggest risks to your facility. This could be fire, disease outbreaks, or financial loss.
- Check Medication Management: Make sure that medications are given and stored correctly.
- Review Clinical Audits: Look at the results of internal audits on wound care and nutrition.
- Monitor Restrictive Practices: Check that any use of restraint follows the law and is recorded properly.
- Verify Emergency Plans: Make sure your plan for floods, fires, or power cuts is ready and tested.
The board must be active in these reviews. You should ask questions if the data does not look right. This helps you catch problems before they become big issues.
Frequently Asked Questions
When is the deadline for the Aged Care Financial Report?
The ACFR is usually due four months after the end of the financial year. For most providers, this means the deadline is October 31. However, you should start preparing your data before June 30 to make sure it is correct.
What happens if we miss a compliance deadline?
Missing a deadline can lead to sanctions from the Aged Care Quality and Safety Commission. This might mean you cannot take in new residents or you might lose government funding. It is very important to follow your checklist to avoid these problems.
How often should the board review the risk register?
The board should look at the risk register at every meeting. However, a deep review should happen at the end of the financial year. This helps you set new goals and budgets for the coming year based on the risks you find.
Do we need an external auditor for EOFY?
Yes, most aged care providers need an external auditor for their financial reports and prudential compliance. An auditor provides an independent look at your books and makes sure you are following the law.
Conclusion
Preparing for the end of the financial year is a major task for any aged care board. By using a structured EOFY aged care checklist, you can stay on top of your duties. You must focus on your financial health, the quality of care, and the safety of your staff.
Governa AI is here to help you manage these complex tasks. When you have the right systems in place, you can spend less time on paperwork and more time on high-level strategy. Make sure your board starts its review early so that June 30 passes without any stress. With a clear plan, you can lead your facility into a successful 2026-2027 year.
