Lets rephrase it though: Why do agencies charge their admin fee every month instead of just once like Grandma Joan?
That’s a better question. When you are given a rate for a live-in from an agency, it’s made up of the live-ins salary + the agency’s admin fee. Typically the live-in makes only half of what you are charged. It’s a horrible system for both the caregiver and the care recipient. The client pays the highest rate for the lowest paid caregivers. If you are paying an agency $8,000 per month for your live-in, then $3,000-$4000 of that is their recurring fee. You pay it every single month that you continue to use them.
Grandma Joan charges the admin fee just once. We do this the first month when all of the “heavy lifting” is done by us finding and screening local live-ins for you , and setting you and them up professionally together with limited liability contracts and the steady hand of our years of experience installing private live-in caregivers.
If you are paying a GJ live-in $6,000 per month, then they are grossing $6,000 per month. This attracts the best of the best live-in caregivers with the most experience and highest recommendations from previous clients to apply for your position, and allows us to be very, very picky as to who makes it through our screening. Pay less, get more. Thats our long term care model.