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IME,Inc.
211 Beaumont
Traverse City, 
Michigan MI 49684

Tel: (800)
968-4637

info@imei.com

 

 

 

(800) 968-4637 

Independent Medical Evaluations, Inc.

A National Company Providing
Comprehensive IME Medical Legal
Services In All 50 States


 info@imei.com


ATTENDANT CARE SERVICES

By: Victoria D. Small RN

WHAT IS “FAIR WAGE” WHEN PROVIDED BY FAMILY OR FRIEND

Over the past 3 years I have frequently been asked by claims representatives, attorneys and family members for my opinion on a ”fair wage” for family members or friends being reimbursed for “Attendant Care Services.” As a registered nurse for almost 20 years, with 15 of those years as a case manager, I have had a great deal of experience in hiring the agencies that provide these services. Prior to becoming a nurse, I was a Certified Nurses Aide for 10 years, so I have first hand knowledge of what the job entails.  

It has only been in recent years that this question has gained so much interest. I am sure there are many reasons for this, including increased costs in health care, and hospitals focusing more on early discharge to the home. If the physician has established there is a need, it is understandable that a client would rather be cared for or assisted by a family member rather than an unfamiliar person from an agency. In most cases there is not a problem with a family member providing the care; however, I always evaluate this carefully since there are instances when it is inappropriate, and I advise against it. For example, if there is evidence the caregiver is an abusive partner, has health issues of their own, has many other responsibilities, or is not comfortable with the tasks involved, I would tend to advise against it. Once it is established the family member is capable and willing to care for the patient, the issue of reimbursement can be addressed with the insurance company paying for the service.

Few family members or friends understand the difference in an agency providing this service and usually anticipate the same amount of pay that an agency charges for the job. For this reason, I felt it was important to clarify why there is a difference and what is “fair” when all things are considered.

My calculations and formulas are based upon my experience and research with home health care agencies, as well as industry standards. My determination of a fair hourly wage for the services of a family member or friend providing the services of home health aide/attendant care provider is outlined below.

There is no dispute that as of 2004, an agency providing these services would charge $15 to $20 per hour. There are many costs incorporated in this fee. Home health care agencies have overhead to cover, such as liability insurance, taxes, the employee’s wage, benefits, supervisory, training, etc., accounting for higher costs. There is also a higher rate on employee turnover with this profession resulting in additional costs for advertising and training. In addition, services provided by an agency would be done according to industry standards. Most insurance companies, including Medicare, Medicaid, Blue Cross Blue Shield, etc., outline the qualities of care requirements. Joint Commission on Accreditation of Healthcare Organizations (JCAHO) or Community Health Accreditation Program (CHAP) also accredit three of the four agencies contacted. These accreditation programs require the facility to maintain a set of guidelines and outline a higher standard of care than a family member would be required to adhere to. This higher standard includes the need for the home health aide to obtain certification through the State of Michigan. The state-sanctioned program requires 75 hours of instruction and then the ability to pass both a written and practical exam. It is then necessary for the aide to show proof of ongoing education in the form of Continuing Educational Units (CEU’s) in order to maintain their certification.

The higher wages in this study reflect those of higher skilled care providers who are usually certified and are considered semi-skilled. Unskilled/uncertified individuals, such as personal care aides or companions, make a wage slightly less. Although a family member or friend can be trained to do specific tasks on a daily basis, that caregiver would not be able to use those skills in other settings; i.e. a hospital, rehabilitation facility, long-term care facility, etc., without further training or credentialing.

Internet research revealed multiple sites where occupational wages can be readily accessed. My key words were ‘home health aides’. My research reflects the mean wage obtained from each site.

I found the average wage of the home health aide/attendant care provider working for an agency in the industry to be $9.23 per hour. Based on that research, I feel a family member providing the same service as an agency CENA/nurse’s aide/attendant, would be compensated fairly at a wage between $9.00 and $10.00 per hour.

As case managers, we are in the position of having to evaluate and consider all factors concerned. I feel it is important to educate the client and caregiver so they are not misled into believing they should be compensated at a higher rate than a professional providing the same care.

The research provided in this study was updated in October 2004 and I would like to thank the agencies listed for allowing me to use their data for comparison.

* * *

Victoria D. Small RN is a certified medical case manager.  She has over 15 years experience in private rehabilitation.  Vickie and a co-worker started their own company, Selective Case Management, Inc., in 1996.  In October 2003, Victoria decided to pursue her desire to be an independent contractor under the name of Quality Case Management.   She continues to provide medical case management for Selective Case Management and conducts in-services on attendant care.

HOME HEALTH AIDE

WAGE STUDY COMPLETED ON MICHIGAN AGENCIES IN

THE TRI-CITY AND FLINT AREAS

AND ON THE INTERNET

OCTOBER 2004

 

AGENCY

AGENCY FEE

WAGE PAID TO CENA

Heartland Home Care

$16.00/hr

$9.00/hr

Visiting Nurse of Michigan

$20.00/hr

$11.00/hr

A & D Home Care

$16.00/hr

$10.00/hr

Leelin Home Care

$17.00/hr

$10.00/hr

AVERAGE/TOTAL

$17.25/hr

$10.00/hr

INTERNET RESULTS

SITE RESEARCHED

AVERAGE

WAGE

2002 Occupational Employment and Wage Estimates for Michigan

$9.33/hr

Payscale-Salary Surveys, Wages, Compensation Information and Analysis 2000-2004 (completed on 10/21/04)

$9.00/hr

Career Infonet Occupation Wage Report 2002

$9.07/hr

US Dept. of Labor Occupational Employment & Wages, May 2003

$9.22/hr

Center for Health Careers 2002

$8.70/hr

Average Wage for Internet Research

 

$9.06/hr

The fees and wages used in this report reflect the highest fee charged by an agency and the highest wage paid. These fees and wages would usually reflect a case needing higher skills and experience. All information was updated on October 2004. Based on the above research, I calculated the average wage of a home health aide at $9.53 per hour.



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IME, Inc.
211 Beaumont Place
Traverse City, Michigan-MI, USA 49684
Phone: (231) 929-1474
Toll-Free: (800) 968-4637
Fax: (231) 929-4356
Email: info@imei.com



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