Running a caregiver registry means walking a fine line between supporting both sides and staying out of the middle where you don’t belong. Nowhere is that line trickier than when it comes to setting rates.
Handled wrong, rate discussions can drag you into compliance trouble and make your registry look more like an agency. Handled right, they protect your registry, your caregivers, and your reputation.
Regardless of your software, the principles are the same, keep rate negotiations between the caregiver and the client, while still giving them the tools to succeed.
A registry’s role is to connect caregivers and clients, not dictate the terms of their relationship.
When you start telling caregivers what to charge or telling clients what they must pay, you’re stepping into “control” territory. The Department of Labor and IRS don’t just look at contracts; they look at behavior. If it appears you’re managing the caregiver’s work or paying like an employer, that’s a red flag.
A few common middleman mistakes:
Setting rates for everyone instead of letting caregivers and clients agree directly.
Approving or denying a rate before a shift is booked.
Negotiating on behalf of a caregiver without them present.
Even if your intention is to “help things along,” it can erode the independent contractor status that protects your registry model.
Staying out of the middle doesn’t mean leaving everyone to fend for themselves. It means giving caregivers tools to negotiate directly.
Here are ways to prepare both sides without crossing the line:
Provide market data. Share general hourly ranges for your area so caregivers know what’s typical.
Offer conversation guides. Give caregivers a list of questions to cover, like travel time, holidays, and special tasks.
Keep your role informational. You can give context, but the caregiver and client should always make the final call.
Choosing the right caregiver scheduling software matters - the best platforms let you set it up to fit your registry’s needs while staying within registry standards. Look for tools that allow both caregivers and clients to enter or confirm the agreed rate, rather than having the platform (or you) dictate it.
Even with the best prep, there are topics that tend to cause tension:
Travel time: Will the caregiver charge for it? How much?
Holiday rates: Is there an agreed-upon increase?
Extra tasks: Light housekeeping, meal prep, or errands can shift the rate.
Encourage both sides to get agreements in writing. It doesn’t need to be a formal contract, even a signed note or email thread works as proof that the terms were discussed and accepted.
Your caregivers aren’t just your contractors, they’re also your best defense if you ever face a DOL audit.
If they can clearly explain:
How they set their rates,
That they negotiate directly with clients, and
That they control their schedule and services,
…then you have strong evidence that your registry operates within the independent contractor model.
Make it part of your process to train caregivers on describing their relationship with the registry accurately. Go over it more than once. When people are confident in their own words, they’re more likely to say the right thing under pressure.
Good rate negotiations aren’t about pushing for the lowest cost or highest pay. They’re about setting clear expectations that work for both caregiver and client - and doing it in a way that keeps your registry safe.
When you resist the urge to “handle it” for them and instead equip both sides to work it out, you protect your model, build trust, and avoid compliance headaches.
No matter what platform you use, the same rule applies: software can store agreements, but it’s the caregivers and clients who should set them.
When caregivers and clients negotiate directly, everyone wins - and your registry stays compliant, credible, and trusted.