Yes — aged care pays real money in 2026. A new Certificate III-qualified aged care worker covered by the SCHADS Award earns $36.22 per hour as a base rate, $45.28 as a casual, and significantly more on weekends and public holidays. Here is the exact breakdown of what you will see on your first payslip, what the Award actually means, and how to make sure you are being paid correctly.

What Is the SCHADS Award?

The SCHADS Award (Social, Community, Home Care and Disability Services Industry Award MA000100) is a legal document that sets minimum pay rates, classification levels, penalty rates, and employment conditions for workers in Australia's disability, aged care, and community services sector. It is not optional. If you work in aged care in Melbourne, your employer is legally required to pay you at least what the SCHADS Award specifies — and most reputable employers pay above it.

The SCHADS Award is different from the Aged Care Award 2020 — a distinction that confuses many new workers. The Social and Community Services stream covers most personal care workers, disability support workers, and community care employees in Victoria. Rates are reviewed annually by the Fair Work Commission and increased by 4.75% from the first full pay period on or after 1 July 2026.

Knowing your Award classification is the single most important step to understanding your payslip. Many new aged care workers are underpaid not because their employer is malicious, but because the worker does not know what they should be earning. The Fair Work Commission provides a free pay calculator at fairwork.gov.au that lets you verify your minimum legal pay entitlement in under two minutes.

Aged Care Pay Levels Explained — Level 1 to Level 4

The SCHADS Award organises aged care workers into classification levels. Your level determines your base pay rate. Understanding which level applies to your role — and whether your qualification matches that level — is the foundation of pay transparency.

Level 1 Pay Point 1: $27.55 per hour. This covers induction-level and basic ancillary roles with no formal qualification required. Most personal care workers in residential aged care are classified higher than this.

Level 2 Pay Point 1 (Certificate III — your entry point): $36.22 per hour base rate for full-time or part-time. This is the most common classification for new graduates holding CHC33021 Certificate III in Individual Support. Casual rate: $45.28 per hour (base rate plus 25% casual loading). This is the rate most new aged care workers in Melbourne should be earning from their first shift.

Level 3 Pay Point 1 (Certificate IV): $40.49 per hour base rate for full-time or part-time. Casual: $50.61 per hour. This level covers experienced practitioners and workers with CHC43015 Certificate IV in Ageing Support or equivalent. Moving from a Certificate III to a Certificate IV represents a meaningful pay increase — approximately $4.27 more per hour base.

Level 4 Pay Point 1 (Diploma): $44.55 per hour base rate. Casual: $55.69 per hour. This covers team leaders, coordinators, and workers with a CHC52025 Diploma of Community Services or equivalent. After completing the CHC33021 and gaining experience, progressing to a Certificate IV or Diploma is one of the clearest pathways to higher pay in the sector.

What You Actually Earn as a Certificate III Worker

"Most of our students are surprised by how real the money is in aged care," says Laiju Thomas, aged care trainer at Clinton Institute. "When they see the actual SCHADS Award numbers — not estimates, not headlines, but the real rate — they understand this is a career with genuine income progression."

As a Level 2 Certificate III aged care worker on the SCHADS Award in 2026-27, here is what you actually earn: $36.22 per hour as a full-time or part-time employee. That is approximately $1,385 gross per week for a standard 38-hour week, before tax. As a casual: $45.28 per hour — the 25% casual loading is built into this figure.

Over a full year as a full-time employee: approximately $72,000 gross before tax. With weekend and public holiday penalty rates included (50% Saturday, 100% Sunday and public holidays), a worker doing regular weekend shifts can earn significantly more. The next scheduled SCHADS Award increase is 1 October 2026, when Schedule E rates rise a further 15% for disability support workers — meaning another pay step is coming.

The Fair Work Commission's Annual Wage Review 2026 lifted award minimums by 4.75% from 1 July 2026. The NDIS Price Guide for Support Coordinators and disability service providers typically increases from 1 July each year to align with Award movements, meaning providers have the budget to pay award-compliant rates. If your employer says they cannot afford to pay award rates, that is a compliance issue to report to the Fair Work Ombudsman.

Penalties and Allowances — When You Earn More

Your base rate is just the starting point. The SCHADS Award specifies additional payments that can significantly increase your take-home pay, depending on your roster.

Saturday penalty: Time and a half — 150% of your base rate. A Certificate III worker earns $54.33 per hour on Saturday.

Sunday penalty: Time and three-quarters — 175% of your base rate. A Certificate III worker earns $63.39 per hour on Sunday.

Public holiday penalty: Time and three-quarters or double time depending on your Award interpretation — typically 175% to 200%. A Certificate III worker earns $72.44 to $81.93 per hour on a public holiday.

Early morning and evening shifts: Additional loadings apply for shifts starting before 6am or finishing after 8pm, varying by facility and roster agreement.

"New workers often underestimate how much penalty rates add up," says Laiju Thomas. "A weekend roster as a casual — Saturday and Sunday shifts at penalty rates — can mean a new Certificate III worker earns $800 to $1,000 gross in a single weekend."

What "Award-Covered" Actually Means for Your Payslip

When an employer advertises a role as "Award-covered," they mean your pay and conditions are set by the SCHADS Award minimums — you cannot be paid less than the Award rate, but you can be paid more. Many Melbourne aged care providers pay above the Award to attract and retain staff in a competitive market.

Your payslip will show your base rate, then itemise any penalties, allowances, and deductions. The key line is the Gross Taxable Income — your total before tax and deductions. This includes base pay plus all penalty loadings and allowances.

If you are employed as a casual, your payslip will also show the 25% casual loading as part of your hourly rate (not as a separate allowance — it is built into the rate quoted above). Full-time and part-time employees receive the base rate and are compensated for lack of casual loading through paid leave entitlements instead.

Award-covered employment also means you are entitled to specific leave protections: 4 weeks annual leave (plus 17.5% leave loading when you take it), 10 days personal leave, and superannuation guarantee contributions (currently 11.5% of ordinary time earnings, rising to 12% from 1 July 2025).

Why Your Pay Improves With a Certificate IV or Diploma

The pay gap between a Certificate III qualification and a Certificate IV or Diploma is significant — and it compounds over time. Moving from Level 2 to Level 3 under the SCHADS Award represents a $4.27 per hour base rate increase. For a full-time employee, that is approximately $163 more gross per week, or over $8,400 more gross per year.

"We encourage every student to think about their next qualification while they are still completing their CHC33021," says Laiju Thomas. "The Certificate IV in Ageing Support is the natural next step. It takes approximately 6 months part-time after completing the Certificate III, and the pay difference is immediate once you start applying for Level 3 roles."

The career progression from Certificate III to Certificate IV to Diploma also opens access to care coordination, case management, and team leader roles — positions that carry Level 4 to Level 6 SCHADS Award rates and often include employer-provided professional development. Clinton Institute offers both CHC43015 Certificate IV in Ageing Support and CHC52025 Diploma of Community Services as direct pathways from the Certificate III.

How to Know If You Are Being Paid Correctly

The Fair Work Ombudsman provides a free Pay and Wages Calculator at fairwork.gov.au. Enter your Award, classification level, pay point, and hours worked — it calculates your minimum legal entitlement in seconds.

If you believe you are being underpaid: first, check your Award classification on your payslip. If you are classified at a lower level than your qualification warrants, raise this with your payroll department in writing. If the employer does not correct it within a reasonable timeframe, contact the Fair Work Ombudsman — they investigate underpayment cases and recover wages on behalf of workers, at no cost to you.

Keep records: payslips, roster sheets, employment contracts, and any written communications about pay. Do not rely on memory or verbal agreements. Written records are your protection if a pay dispute arises.

Frequently Asked Questions

What is the SCHADS Award and does it cover aged care workers?

Yes. The SCHADS Award (Social, Community, Home Care and Disability Services Industry Award MA000100) covers the majority of personal care workers, disability support workers, and community care employees in Australia, including residential aged care and home care roles. It sets minimum legal pay rates, classification levels, and employment conditions.

What is the Certificate III aged care worker pay rate in 2026?

Under the SCHADS Award 2026-27 (effective 1 July 2026, +4.75%): Level 2 Pay Point 1 (Certificate III qualified) earns $36.22 per hour base rate for full-time/part-time. As a casual, the rate is $45.28 per hour including the 25% casual loading.

How much does a casual aged care worker earn on weekends?

A casual Certificate III aged care worker (Level 2) earns $45.28 base on a weekday. On Saturday: $54.33 per hour (150% — time and a half). On Sunday: $63.39 per hour (175% — time and three quarters). On public holidays: up to $72.44 to $81.93 per hour.

When is the next SCHADS Award pay increase?

The most recent increase was 4.75% from 1 July 2026 following the Fair Work Commission Annual Wage Review. The next scheduled increase is 1 October 2026, when Schedule E disability support rates rise by a further 15% under FWCFB 137.

What is the pay difference between Certificate III and Certificate IV in aged care?

Level 3 (Certificate IV) base rate is $40.49 per hour vs Level 2 (Certificate III) at $36.22 per hour — a $4.27 per hour difference. For a full-time employee, this represents approximately $8,400 more gross income per year before penalties.

Does superannuation apply to aged care workers?

Yes. Employers are legally required to pay superannuation guarantee contributions for all employees — currently 11.5% of ordinary time earnings (rising to 12% from 1 July 2025). This applies regardless of whether you are full-time, part-time, or casual.

Can an employer pay less than the Award rate?

No. The SCHADS Award sets minimum rates. An employer cannot pay you less than the Award specifies. If they do, this is underpayment — a serious breach of workplace law. Report it to the Fair Work Ombudsman at fairwork.gov.au or call 13 13 94.

What is casual loading and how does it work?

Casual loading (25%) compensates casual employees for not receiving paid leave entitlements. Rather than paying a lower base rate, employers add 25% on top of the base rate. For a Certificate III worker, this means $36.22 becomes $45.28 as a casual — this single figure already includes the loading and does not appear as a separate item on your payslip.

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