Why and How Caregivers Should Create a Personal Care Agreement
January 24, 2017As my friends and I enter our late 40s and 50s, I find we talk more about caring for our parents than any other topic. For some, the care involves an occasional check-in and phone call. For others, it involves full-time care. A few were even thinking of quitting their jobs so they can take care of their parents full-time.
If you find yourself facing the same decision, consider creating a formal agreement, known as a personal care agreement, that can help manage the expectations of the person receiving care and their family members and clarify the compensation the caregiver will receive. (You can see a sample here.) Before creating it, consider discussing your desires with family members to avoid conflicts and resolve concerns. Generally, there are three basic components of a personal care agreement:
- It should be in writing.
- Money received is for future not past care.
- Compensation must be reasonable, similar to what a caregiver in your area would charge for the same service. Consider looking at online job agencies like Monster to find out the average pay for the services you will be providing.
The other parts of the agreement to consider are to:
- Note when the care will begin as well as the expected length of the agreement.
- Include where the services are expected to be given, such as the care recipient’s home.
- Detail the services the caregiver will provide such as food preparation, transportation, etc. In addition to talking to the care recipient about the services he or she wants, consider consulting with the care recipient’s medical providers to determine the level of service needed. Assess the level of care the caregiver is capable of giving.
- Estimate the expected number of hours or days of the week for the services to be rendered. Consider writing a plan to account for the caregiver’s time off such as illness or vacations.
- Cite the amount of compensation and dates of payments. If the caregiver plans to live with the person they are caring for, consider including whether there is an expectation of payment for room and board.
- Consider adding in an “escape clause” so each party can terminate the contract. This will go a long way in preserving the relationship.
- Have the completed document signed by all parties (if the care recipient cannot sign, then the durable power of attorney agent should sign) and notarized.
As you can see, drawing up a personal care agreement can quickly get complicated. Consider consulting with an attorney. See if you have a workplace benefit for free or reduced cost legal services to help you write the agreement. Doing your due diligence can help alleviate stress and prevent a lot of conflict.
