You’re almost ready to work with a new client. You’ve done the interview, visited the home and discussed the responsibilities you’ll take on. There’s just one more thing: the client wants to know how much you’ll charge for your in-home senior care services.
Figuring out what you should be paid isn’t an exact science. There are a lot of factors that can affect your rate, including where you live, your credentials and what duties you’re being asked to take on. You also don’t want to forget about travel time and extra tasks, like caring for pets, that might increase the workload and warrant additional compensation. You want to be respectful of your client’s budget, but you also want to earn a fair rate for the care you provide.
Before you decide what to charge per hour, here are some things to think about.
What to consider when determining your pay
When you’re deciding how much you should charge for your in-home care services, start by taking a closer look at what other carers charge, how much experience or training you have and the level of care you’ll be providing.
1. Average rates for in-home senior carers in your area
According to the 2020/21 report by the Personal Social Services Research Unit (PSSRU), community-based home care workers charged an average of £23 an hour – but there’s a lot of variation from one place to the next. Rates are higher in locations with a higher cost of living, such as London. The Homecare Association’s recommended minimum rates for 2022/23 are £26.66 per hour in London, for example, while recommended rates elsewhere in the UK are closer to the PSSRU’s 2020/21 reported average of between £23.20 and £24.08 per hour.
And that makes sense. What it costs to rent a flat or buy a pint of milk isn’t the same everywhere, and some places have more qualified carers competing for jobs – both of which are factors that can cause pay rates to fluctuate.
2. Your skills and experience
As with other positions, carers with more education and years in the industry tend to charge more for their services than their less experienced counterparts.
Because some older adults require more advanced care, having certain certifications or licences can put you in high demand, especially when people are expecting to need more assistance as they get older. Qualifications that might warrant higher pay can include:
- Registered nursing qualifications
- Health Education for England’s Care Certificate
- Level 2 and 3 diplomas. These can specialise in a variety of areas including dementia care and end-of-life care
Some of these qualifications – including the Care Certificate and certain level 3 diploma courses – are available for free, so they’re well worth considering. Check out the UK Department of Education’s list of free level 3 qualifications.
3. Level and type of care you’ll be providing
In-home carers provide a wide range of services, from simple companion care to fairly involved medical care. Generally speaking, the more you’re asked to do and the more complex the tasks, the more you can expect to earn.
Individuals with dementia or a history of stroke, or those needing specialised medical equipment, for example, tend to require a more complex level of care and that translates to higher rates for the carer responsible. Carers are also well advised to discuss how pay rates will adjust as these needs change over time.
Another thing to consider is whether you’ll be caring for a couple, rather than an individual. Caring for two people will be more time-intensive than caring for one – so this should be reflected in your rates.
4. Other benefits or compensation you might receive
What you charge on an hourly basis might not be the only way you’re compensated for your care services. Some families might also provide benefits and perks in addition to your standard pay rate.
If you’re a full- or part-time employee, for example, you’re entitled to statutory holiday – and leave days can be a huge non-monetary perk of a job. As an employee, you’ll also be eligible for pension contributions and sick pay.
Alternatively, if you’re self-employed, you benefit from all the flexibility that comes with it, including variety in your work and organising your working hours around your own commitments. It’s worth bearing the benefits and convenience of a job in mind when assessing how much to charge.
5. Overhead costs
Your rate as a carer should cover more than just your time. You may have additional overhead costs, such as travel and equipment. Consider how much time you spend travelling to and from your place of work and how much this costs. If you’re expected to shuttle the individual you’re caring for around as well, for example to and from appointments, consider asking for a mileage reimbursement.
There may also be equipment you require when providing your care, like PPE or tools and items you bring with you, such as stacking steps or pill boxes. Make sure your fee either covers sourcing such items, or that you have a clear way of ensuring these expenses are covered by your employer.
6. Additional services
While every family and situation is slightly different, the rate charged by in-home carers generally includes all the basic tasks needed to help an individual live in their home, including prepping meals, managing medications, providing assistance while bathing, running errands and doing light housekeeping.
If you’re asked to take on additional responsibilities above and beyond what’s needed to care for the individual (or, in some cases, the couple), those tasks might warrant asking for a little extra pay. Some examples of additional services include caring for pets, traveling with the individual on trips or accompanying them to special events.
What you should ask for these responsibilities might differ based on the added workload and inconvenience. How much extra carers charge for pet care will vary from one case to the next, for example. Are you putting out food for a cuddly cocker spaniel? Or taking a Rottweiler out four times a day and cleaning up after it? Be realistic about what you’re being asked to do, and how much extra time and effort it requires.
Know the bare minimum you’re required to be paid
Families always want experienced, high-quality care for their loved ones, and budgets are often tight. All the same, you need to make sure the fee you’re being paid reflects your needs – and the legal requirements. The minimum wage – sometimes referred to as the “national living wage” – is the legally mandated hourly minimum an employer is required to pay you. This is rising from £8.91 to £9.50 (for employees aged 23 and older) in April 2022.Lower rates apply for employees aged between 16 and 22, so if that’s you, make sure to check exactly what you are owed by your employer.
Know how much you need to make a living
While the minimum wage is a requirement, experts agree it’s not enough to live on. The wage workers actually need to make ends meet and support their families is referred to as the real living wage.
The real living wage varies greatly depending on location, since the cost of living is different everywhere. The real living wage for London, for example, is generally calculated at around 10% higher than for other areas of the UK. Here are a couple of tools to help you calculate your salary requirements:
- Take a look at the real living wage table for the UK.
- Check out the Budget Planner from Money Helper to find out how much you should realistically be charging to meet your needs.
When to ask for a raise
One of the biggest mistakes in-home carers make when setting their rates is not discussing raises ahead of time. Some families might not realise that carers should receive raises, just like employees in other sectors do. But those periodic increases in pay are important in order for carers to keep up with rising rent prices and other costs of living.
Carers would be well advised to include a schedule for raises in the original carer contract, including pinning down a minimum rate increase – such as increases in line with inflation. Suggesting a range (rather than a fixed amount) for the raise gives the family leeway to increase the raise based on performance.
There’s no perfect formula for calculating a fair pay rate for your care services, but thinking through some of these variables can help get you closer to a pay rate that’s fair for everyone involved.
Don’t forget about tax
Remember that your carer rate is how much you’ll be paid before tax is deducted. You can use this take-home salary calculator to work out how much money you will actually make after tax – which is useful to know when calculating your rates.