Individuals entitled to a social care personal budget from their local council may choose to receive their support in the form of a direct payment.
Direct payments for care are favourable alternatives as they grant individuals more control over their care services, allowing them to maintain some of their independence.
How to Obtain Direct Payments
If you are actively receiving support from your local authority or trust, you can switch to direct payments by simply applying for the service in person or online on your local council or trust’s website. If you are a first-time care service applicant, your social worker must discuss direct payment options.
How You Will Receive Direct Payments
If you are eligible for direct payments for care, you may receive the partial or complete sum of your budget as a direct payment into your bank or building society or National Savings account. You may then decide how to spend your direct payment to accommodate your care needs.
The Purpose of Direct Payments
Direct payments are granted for individuals to decide on the care services they want to fund for themselves. So long as your expenditure aligns with the care plan you have worked out with your local authority, you are free to spend direct payments on the products or services you deem necessary.
How You Can Use Direct Payments
Direct payments must be used to accommodate the specific needs the local council or trust have assessed.
There are several acceptable care options, such as:
- Paying an agency for a home carer.
- Employing a private carer.
- Employing a personal assistant.
- Equipment or home adaptations.
- Transport costs.
- Care home stays.
- Leisure activities.
Paying for Care at Home
You are entitled to apply your direct payment towards paying for care at home through an agency or by employing a private carer or personal assistant. You may not use direct payments to purchase local authority services.
Employing a Carer or Personal Assistant
You may choose to employ a carer or personal assistant to facilitate your care needs in the comfort of your home. By doing so, you become an employer with several responsibilities, such as recruitment, insurance, sick pay, holiday pay, Income tax, National Insurance, pensions and other benefits. It is imperative to maintain organized records and accounts of your expenses.
Employing Family Members in England
Typically, you cannot employ family members that live with you unless the local council decides it is the most effective way for your care needs to be met due to exceptional circumstances. If the local council agrees, you may use a direct payment to pay a family member to manage and administrate your direct payments.
Employing Family Members in Wales
You may employ a family member who resides with you or in their own home if the local council approves the employment of your loved one as the most effective outcome for your care.
Employing Family Members in Scotland
If the local council approves, you may use your direct payment to employ a family member, whether they live with you or in their own home. The local council will only condone these measures as an exception if the circumstances prove this is the best course of action for your care.
Employing Family Members in Northern Ireland
In Northern Ireland, you cannot use direct payments to employ individuals who live with you, but you can employ family who does not live with you. You may pay a person specially recruited to live with you under exceptional circumstances, such as religious or communication reasons; the trust must approve that.
How You Cannot Use Direct Payments
You may not spend your direct payments on certain things, such as:
- Health services, including NHS services.
- Permanent housing or household bills.
- Illegal activity, such as gambling.
- Long-term care home accommodations.
- Informal care from non-registered carers.
There are exceptions, as regulations differ. Speak to your local council or trusted social worker for specific rules.
Direct Payment Alternatives
If your local authority or Health and Social Care Trust has approved your financial support, you have the choice to:
- Receive services directly through your local authority.
- Receive direct payments from your local authority.
- Receive combination payments.
You may switch support methods at any time.
Combination Payments
If you choose to receive combination payments, the council will provide you with smaller direct payments and care and support services. If you enjoy the freedom of your partial direct payments, you can switch to full direct payments to pay for your care services or products.
The Criteria for Direct Payments for Care
You meet the criteria for direct payments for care if:
- You are deemed eligible through a financial assessment.
- You are capable of making decisions for yourself.
- You want a direct payment and have asked for it.
- You can manage your direct payment, or you have reliable help to manage your payment.
- The direct payment will aid you in receiving care.
Direct Payment Amounts
Your unique care needs and circumstances determine direct payment amounts. Direct payments must cover the services deemed necessary in your care plan by your local council. However, depending on the results of your financial assessment, you may still need to contribute towards your care costs.
Direct Payment Review
Your local council will review your situation within six months to ensure your care needs are covered, and your direct payments are used for relevant services or products.
Employing Your Own Support Staff
Many individuals who receive direct payments use their budget to employ personal care staff.
What if My Direct Payments Do Not Meet My Needs?
If you feel your direct payments are not covering your needs, you can contact your local authority or trust for help. You may also seek guidance from an advocate who will act as your spokesperson to ensure your concerns are heard and rectified.
Are Direct Payments Suitable for Me?
If you seek control over your care, with more choices of products or services to satisfy your specific needs, direct payments may be a suitable option for you. It is essential to ensure you can handle money and paperwork or that you have someone to help you manage, as receipts and invoices must be sent to social services in an organized, timely manner.
What Indicates Direct Payments May Not Be Suitable?
Several factors may indicate you’re better suited for direct services, such as:
- You are not confident in your ability to carefully preserve receipts and invoices.
- You have a history of extended hospital stays.
- You are uncomfortable with the thought of employing your own carer.
Do Direct Payments Cover My Care’s Associated Costs?
Payments must cover the cost of a service or product and associated costs. For instance, if you employ a carer, the associated costs that your direct payments must cover would be recruitment costs, holiday pay, national insurance contributions, income tax, and employer pensions.
Can My Family Member Receive & Spend Direct Payments?
If you feel comfortable allowing someone to receive and spend money on your behalf, such as a loved one, friend, or carer, you can have that arranged through a decision-making agreement with your local council.
Does a Direct Payment Affect My Benefits?
Direct payments given to a carer, or an individual receiving care, are not considered income. Therefore, your benefits will not be affected by your direct payments for care. However, if you are a carer receiving benefits, and your employer uses direct payments to pay you, your income will be counted as income and may affect your benefits.
What Can I Do if My Needs Change?
Your local authority may need to reassess your if your situation changes. For instance, they may reduce your payments if your condition requires hospitalization. In other cases, you may be entitled to more money.
Learn More About Home Care
If you are interested in receiving more information about home care services, needs assessments, means tests, direct payments, or other care and support-related guidance for you or your loved one, our friendly professionals are here to accommodate you. Contact us today; we look forward to hearing from you.