How Much Does Home Care Cost in Philadelphia, Pennsylvania?

11 Nov How Much Does Home Care Cost in Philadelphia, Pennsylvania?

For older adults and individuals with disabilities, there are many considerations when it comes to evaluating live-in care and personal care services at home. From home care to full-time institutional care and various options among them, care recipients and their families can find different price points and services to fit their needs. Many of these solutions may be a mix of several services delivered in tandem. 

Naturally, cost is a major consideration when evaluating care options. Home care or home healthcare is a top choice for many seniors or their loved ones. This is due to the ability to age in place at home and remain independent for as long as possible. Comparatively low costs along with added flexibility add to the appeal of home care. However, there is no one size fits all for potential care recipients. In this article, we will review what home care costs in Philadelphia, Pennsylvania, how care can be paid for, an evaluation of alternatives, along with the future of home care costs. 

Home care explained

 

When looking at home care costs, it is important to know what home care is and what it isn’t. The term “home care” is often used interchangeably with other terms. It can mistakenly be used as an umbrella term for a variety of medical services. In this article, home care refers to personal care and companionship. At its core, it means that it helps individuals with everyday activities such as preparing meals, bathing and dressing, and other household tasks to foster both safety and independence. It may also be referred to by alternative names such as non-medical care, home health aide services, senior care, companion care, homemaker care, or assistive care. 

Examples of home care services that fall outside of these parameters include private duty nursing care or home health care. Generally speaking, these services are more intensive and skilled, done under licensed professionals such as physical therapists, nurses, doctors, etc. Recipients of skilled care often have more intensive or complex needs. That being said, many recipients of skilled care may also receive personal care services, and vice versa.

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Get a free consultation to help you determine what you or a loved one may pay in home care costs through Chosen Family Home Care. This personalized assessment can help you get the right caregiving for you or a loved one. Plus, we keep in mind your budget and other considerations, including special needs care.

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Cost overview for caregiving in both Philadelphia and Pennsylvania

When evaluating home care costs, we will specifically focus on the personal care, non-medical care services, and home health aide services that an individual may receive. These are services to help individuals thrive at home independently provided by a home care or healthcare agency. It’s important to determine that you can afford home health services and caregivers at home. Also, to note, these are for private home care rates as listed. 

In Philadelphia, the average cost of home care is $24 per hour, according to retirementliving.com. Philadelphia does have higher rates than the average Pennsylvania state cost of $22.63, common of urban areas. Pennsylvania as a state ranks just above the national average of $22 per hour for home care costs. Below, we show a graph comparing home care costs. 

 

For a patient receiving 20 hours of home care, 5 days per week, yearly costs will run $24,960. Keep in mind that there are many factors that can change cost. For example, the level of care needed or specialty care, short shift premiums, weekend rates, or other variables can shift care costs. That’s why the same study found a large variation in per hour costs ranging from $18.78 per hour to $28.17 per hour. As you might imagine, quality and service can vary dramatically from provider to provider within this range as well. 

How much does Chosen Family Home Care charge for its services per hour?

Chosen Family Home Care’s caregivers provide clients with the best of both worlds. We offer home care services and support that aim to be the least expensive home care costs in Philadelphia, Pennsylvania.

For example, our regular home care services rate is $21 per hour. That means that we offer home care services that are over 12 percent cheaper than the greater Philadelphia average. We strive to offer not only the most reasonable home care costs in Philadelphia, but Chosen Family Home Care can provide its seniors served even more.

• Regular supervision and follow up of our clients to ensure that they have the care they need and when they need it.
• Free assessments by our care management team to regularly evaluate the client and their progression.
• The highest paid caregivers in Philadelphia and Pennsylvania, which means that we can offer clients the best caregivers. Often, this means caregivers are connected with clients who have advanced certifications such as home health aide or certified nurse aide. Many of our caregivers also have extensive experience.
• 24/7 support, so you have peace of mind knowing you can reach us if you need us.

How can Chosen Family Home Care provide such cheap home care services?

The only thing cheap is our fees. We don’t cut corners for our senior home care assistance in other ways. How do we do it? It’s simple:

• No franchise fees. Because we don’t pay thousands of dollars in home care provider franchising fees, we can pass those savings onto our senior consumers that we serve.
• The highest paid caregivers. How can paying your caregivers well equate to low fees? It’s simple. Because we pay our caregivers well, we don’t have to deal with some of the huge caregiver turnover that other home care agencies deal with. Caregiver turnover leads to increased company costs. By limiting our company costs, we can keep our home care rates cheaper than our competitors.
• No marketing gimmicks. We don’t invest heavily in marketing efforts. Instead, we rely on word of mouth from our clients to obtain new business as well as caregiver referrals. In other words, we let our senior home care assistance services speak for themselves. By not having to spend thousands of dollars on marketing and other expenses, we can pass those savings on to our clients.
• Low overhead. We keep our overhead low so we can pass on our savings straight to our caregiver clients. Low overhead leads to low home care costs.
• A dedication to serving our clients. We know that the cost of home care is prohibitive to many. We aim to allow a greater number of people to be able to access inexpensive home care services so we can expand our reach across all of Pennsylvania and positively impact our senior clients and families alike.

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Other articles you may be interested in:

• How Much Does Home Health Aide Care Cost?
• Private duty home care in Pennsylvania: A guide
• 8 Innovations For Improving Lives of those with Dementia and Alzheimer’s and their Caregivers
• Respite Care: 8 Benefits for Family Caregivers

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What else impacts the cost of caregiving services in Philadelphia, PA?

Location is one of the biggest factors that impact home care costs. Generally, urban and suburban areas like Philly tend to be more expensive than rural areas. Plus, costs can be higher in some areas of the country. However, there are a some other factors that might impact the cost of care.

Weekend rates

Many home care agencies charge a higher fee for home care services provided on the weekend. For example, companies usually charge, on average, $1 to $3 more per hour on the weekend as opposed to care provided during the week.

Short shift rate surcharge

Additionally, home care agencies will also usually charge higher fees when minimum hour requirements are not met. For example, some home care providers may charge fees greater than their standard rates if the total shift is less than a set minimum (minimum home care requirements are usually 3-4 hours of care provided at a time). If a caregiver shift is smaller than their required hourly minimum, then families can be expected to pay a higher fee per hour.

Some home care agencies may not even offer shifts below their minimum hourly requirements.

Daily rate 24/7 home care costs

This kind of arrangement may be set up for seniors that need help or care around the clock, 24/7. In this scenario, the rates are usually calculated on a daily basis. There will usually be allowances provided for the caregiver to take time away for meal periods and breaks . Generally, the daily rate for local Philadelphia based home care agencies will range from $250 to about $350 per day. This, can vary as well based on specialized care requirements that you need as a client. Also, higher weekend rates could apply here as well. 24 hour care can be intensive but comparatively inexpensive for how much work is involved.

Specialty care such as dementia or Alzheimer’s home care

Individuals that have specialized needs may also pay more than the average home care hourly rates. For example, in seniors, dementia or Alzheimer’s care is a common caregiving service that may have a higher cost than the average home care hourly cost. Individuals with special needs may also command a premium over regular home care rates.

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Still have questions? Reach out to us today so we can advise on home care services or help you get started.

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Rising home care costs are predicted in the future

Home care continues to be one of the most affordable senior care options. However, costs are rising much faster than the rate of inflation. The cost of non-medical home care spiked 7.1 percent in 2019, nearly 3.5 times the rate of inflation in the US as a whole. 

There are varying factors that have created upward pricing pressures on the home care industry. Most notably, labor issues are front and center. A lack of supply of caregivers, combined with increasing minimum wage around the country along with more competitive wages from the likes of employers such as Amazon and Walmart are causing home care providers to increase wages to sufficiently staff their home care organizations. The demographics of caregivers themselves presents an additional challenge, as many are in their 50s and 60s and beginning to age out of the industry.

Home care agencies are combating the caregiver shortage by offering wellness programs and adjusting wages to attract and retain caregivers. Support programs and effective training help the strongest agencies retain their caregivers and reduce disruptions to both agencies and families as a result of turnover.

Chosen Family Home Care, for example, offers above average wages along with caregiver and patient matching programs and enhanced management and clinical support to staff members to enhance both caregiver and patient satisfaction. The increase in home care costs extends to other care options for seniors. For example, the Genworth cost of care survey also notes that home health aide costs increased by 4.55 percent, while adult day care saw price increases of more than 4 percent. 

Paying for home care services

Home care and home healthcare services are growing increasingly important in the health care sector. Most of these students are provided by home care agencies and home healthcare agencies. This is due to lower costs than institutional care and increased quality of life for patients by remaining at home. Unfortunately, widespread coverage is still lacking for the most part, although that may change down the road. However, there are still some options to consider when looking at financing and payer options for ones home care needs. 

Private pay and private duty home care

Many individual clients pay for home care needs from their own savings or assets, or those of their families. Sometimes family members will pool resources in order to contribute to care needs. Often, seniors or their family members may also sell certain assets that are no longer used or which may be needed to properly finance ones care needs. Finally, accessing home equity is another common option. 

Private Insurance coverage for home care agencies

Insurance will cover home care under long term care (LTC) insurance. However, for those in need of benefits and care, they will be unable to purchase care insurance, generally speaking. If it is possible it is likely to be cost prohibitive. LTC can be an excellent option, but only if doing long term planning. 

Medicare and Medicare Advantage for caregivers at home

Original Medicare will not pay for in home non-medical care benefits. 

Medicare Advantage (MA) plans are now able to offer supplemental health care benefits to their members. It is possible that ones non-medical home care may be covered under their MA plan. This is exciting news for those with in home care needs. This coverage will vary dramatically between plans. Also, being a new benefit that just started in 2019, expect to see coverage for these services evolve over time among plans. Now that we are in 2020, check your MA plans to see what your coverage options may be. You may also find expanded coverage for other related services as well, such as adult day care or medical transportation. 

Medicaid coverage for home care and home health services

 

 

Medicaid is an insurance program for low income individuals. This insurance coverage is determined at the state level, so Pennsylvania manages Medicaid coverage and support for Home and Community Based Services (HCBS). In Pennsylvania, it is covered under the Community Health Choices (CHC) waiver. Many individuals rely on home care support and caregivers through the state Medicaid waiver program. Keep in mind that there are strict eligibility requirements, and that there is generally a long waiting period for benefits to be active.

That being said, the Medicaid waiver program is an excellent option for those that qualify. Not only will it help to provide a long lit of services for those who qualify, but it can also compensate friends or family members that provide care through a qualified home care agency.  Check out our comprehensive guide on medicaid waiver benefits in Pennsylvania. Also check out how to get paid to care for a loved one. Those that receive the Medicaid waiver through CHC pick one of three health plans. In Pennsylvania, they are Amerihealth Caritas (Keystone First in Philadelphia), UPMC, and PA Health and Wellness for Community HealthChoices.

ACT 150 Pennsylvania

Another state funded program for paid caregivers in PA is ACT 150.  It provides the same services as the Community HealthChoices waiver, but is not funded by the Medicaid waiver. It’s similar to the old Attendant Care Waiver. In that program, applicants must be between the ages of 18 to 59. They also need a physical impairment anticipated to last a year or more. They must also be mentally alert. There are different financial qualifications for this program. There is a higher income limit and the clinical eligibility is the same as that under the Medicaid waiver.

Veterans programs that cover caregiving services

There are several forms of assistance and benefits from the Department of Veterans Affairs (VA). Three different pension benefits are available and you can view them in more detail here. 

Home care costs compared to alternative options

Evaluating home care costs compared to alternative options can be tricky. For starters, services offered and what one values can vary. Also, home care and other services are often received hand in hand with other care services. However, cost is critical when evaluating options. Regardless of the services received, care and support for you or your loved ones will almost certainly be a major expense. 

Any comparison with home care services will depend almost entirely on the amount of hours needed. So, if one needs care at 20 hours per week, you can estimate local Philadelphia home care costs by multiplying 20 by the average cost of care ($24 per hour), and then multiply that by the number of weeks in a year (52). In this example, $24,960 would be the yearly cost of care. 

Home care versus residential care

 Just like home care, there exists various levels of residential care options, so costs will naturally vary based on scope, location, and care needs. As an example, a private room at an assisted living facility will average $4000 a month while a semi-private room at a nursing home will run $7441, on average. 

The benefit of receiving non-medical home care is the flexibility in the coverage of one’s needs via their hours received. Naturally, this will impact ones costs. So while you can’t receive nursing home care part time, you can receive care in your home part time. Additionally, hours can be adjusted on short notice in most cases, which adds additional flexibility. These are important factors to keep in mind when comparing costs. Of course, depending on one’s situation, home care may not always be the most feasible or safest options. For example, in an assisted living situation, it is likely that one may only receive a few hours of direct care per day, but help and assistance will always be close by. 

How much do nursing homes cost?

Read our comprehensive guide outlining the cost of nursing home care in Philadelphia, Pennsylvania by clicking here.

What about hiring caregivers privately?

As a recipient of care, you may be tempted to hire your caregiver privately versus an agency. The number one reason for this is cost above all else. One may get care at a discount by hiring privately and foregoing an agency model. 

That being said, if one hires privately they need to be aware of the risk and responsibility associated and which will now be the responsibility of the patient or family hiring the caregiver. Besides the general management of the caregiver, which is a major responsibility on its own, the care provider will need to consider the implications of liability and liability insurance and payroll considerations including taxes and ensuring regulatory compliance.

Additionally, the private caregiver should be properly vetted including getting background and reference checks along with managing the caregiver’s schedule. By choosing a Philadelphia agency that manages this process like Chosen Family Home Care, the patient and their family can have peace of mind that the responsibilities that come with hiring and maintaining caregivers is covered by the agency.

How can I save money on home care and caregiving while still providing quality support?

Home care may not always be inexpensive, but there are ways to save money while still providing supportive and high-caliber assistance to your loved one. Read our article on 10 ways to save money on home care. Plus, consider home modifications on any budget as a way to create a safer and more secure home environment for your loved one.

Conclusion

In summary, home care cost considerations are understandably a major component of a senior’s care, whether it be from an institutional care center or an in-home care provider. While receiving care can be a major expense, including healthcare at home, the flexibility and care options associated with non-medical home health aides and agencies can make in-home care surprisingly affordable. Additionally, it is important to remember that paying more for quality health care can pay dividends in the long term. This is by providing both better quality of life and improved health outcomes, which will ultimately lower health care expenses over time. 

Follow our insights for senior resources and tips to improve the quality of your loved one’s life. We also provide important tools and support for family caregivers.  Chosen Family home care is a Philadelphia based agency that will work within your care needs and budget to find the best option for you or your loved one. Reach out to us today at info@chosenfamilyhomecare.com or call us at 267-457-4122 for a free care consultation and assessment. We will evaluate what your needs are and consider what the best options may be. At the same time, we can determine what your coverage and care options are available.