[Sample] Q&A: How often should a home care agency raise its rates?
Owners ask when, how much and how to tell families. Here are straight answers.
Sample article for testing the newsroom layout. The agencies, people and figures below are fictional.
Deciding when a home care agency should raise its rates is the conversation most owners put off. These answers reflect common practice among the fictional agencies in our sample. Your market may differ.
How often should we review rates?
Once a year, on the same date. A predictable schedule makes the conversation with families easier.
How much is normal?
Most agencies in our sample raised rates by 3 to 6 percent last year, mostly to cover caregiver wage increases.
How much notice should families get?
At least 30 days in writing. Sixty days is better for long-term clients.
Should we raise rates for current clients, or only new ones?
Both, but some agencies phase in the increase for long-term clients over two billing cycles.
What should the letter say?
Say what is changing, when, and why. Tie the increase to caregiver pay, because families care about the person in their home.
What if a family pushes back?
Offer to review the care plan. Sometimes fewer, longer visits cost the family less overall.