New Zealand's older population is growing rapidly. People aged 65 and over currently represent around 16% of the population, and this proportion is projected to rise significantly as the baby boomer generation ages. Meeting the needs of older New Zealanders — for health care, social connection, housing, and community participation — requires substantial public and philanthropic investment.
This guide covers the funding landscape for older adult and elder care services in New Zealand, and how grantmakers can effectively support this sector.
Services for older New Zealanders span a wide range:
Aged residential care
Residential care facilities — resthomes, hospital-level care, dementia care units — are regulated and substantially funded by government through the Ministry of Health. Most are operated by private providers, with a smaller proportion operated by non-profits or DHB-owned facilities.
Home-based support
Many older adults prefer to remain in their own homes with support. Home-based services — personal care, household tasks, social support — are funded through DHBs / Health New Zealand following needs assessment. Non-profit organisations like Age Concern are major providers.
Community day programmes
Day centres, social clubs, exercise programmes, and community activities that support social connection and independent living for older adults not in residential care.
Dementia support
Dementia NZ and Alzheimer's New Zealand provide specialist support for people living with dementia and their families — from early diagnosis support to behavioural support training, carer respite, and specialist advice.
Community transport
Mobility limitations mean many older adults struggle to access services, appointments, and social activities. Community transport services fill gaps where public transport is inadequate.
Home modifications
Modifications to homes — grab rails, ramps, bathroom adaptations — enable older adults to remain in their homes safely longer. ACC and DHBs fund some modifications; gaps are addressed by community grants and non-profit programmes.
Technology and telehealth
Digital tools — personal emergency response systems, telehealth appointments, video calling — support older adults' safety and connection. Some older adults need support to access and use these technologies effectively.
Māori and Pacific elder care
Older Māori and Pacific people have specific cultural needs and often prefer services delivered in culturally appropriate ways. Kaumātua programmes, papakāinga-based care models, and Pacific community elder services address these needs.
Central and local government are the primary funders of elder care services:
Health New Zealand / Te Whatu Ora: Funds aged residential care, home-based support, and specialist health services for older adults through the needs assessment and service coordination (NASC) process.
Ministry of Social Development: Funds some community social services for older adults, including social support and community transport.
ACC: Funds some home modifications and support services where injury is a factor.
Local councils: Some councils fund age-friendly community programmes, senior centres, and activities. The extent of local funding varies significantly across councils.
Philanthropic funding complements government investment by:
Funding prevention and wellbeing
Government funding focuses on assessed need — people who have reached a threshold of need. Philanthropic grants can fund earlier-stage programmes that help older adults maintain independence and wellbeing before they reach crisis: social connection programmes, exercise classes, nutrition support, digital inclusion.
Filling geographic gaps
Rural and remote communities often lack the density to support commercially or government-funded elder care services. Community grants support volunteer-based services, community transport, and social programmes that serve small-town and rural older adults.
Supporting carers
Unpaid family carers provide enormous value to the care system — and face significant strain. Grants supporting carer respite, education, and wellbeing have multiplier effects on the whole care system.
Innovation and pilots
New service models — technology-enabled care, community-integrated models, new housing options — often need philanthropic funding to pilot before they're eligible for government funding.
Advocacy and systemic change
Policy reform — improving funding rates, workforce conditions, quality standards, consumer rights — requires advocacy organisations that philanthropic funders can support.
The dignity lens: Elder care grants should be assessed through a dignity lens — do the proposed services respect the autonomy, choices, and dignity of older adults? Services that are paternalistic or fail to treat older adults as capable adults with agency should be questioned.
Workforce sustainability: The aged care workforce is under severe strain — low wages, high turnover, skills shortages. Grants that don't account for sustainable workforce conditions may produce unsustainable services.
Dementia-specific needs: Dementia significantly changes service requirements. Grants serving mixed older adult populations should consider whether dementia-capable service delivery is in place.
Cultural responsiveness: Services for Māori and Pacific older adults should be designed with and by those communities, not adapted from mainstream models.
Volunteer sustainability: Many community elder care services depend heavily on volunteers — who are themselves ageing. Volunteer programmes need investment in recruitment, training, and sustainable governance.
Asset ownership and housing: Many older adults own their homes but have limited liquid assets. Housing-wealth-based funding models (e.g., home equity) may not be appropriate for philanthropic analysis, but understanding the financial circumstances of older adults served matters for assessing need and impact.
Tahua's grants management platform supports funders in the aged care sector — with the grant tracking, reporting, and impact measurement tools that help funders understand whether their investment in older adult wellbeing is making a difference.