Optics and Unique Things To Consider When Owning and Operating a Caregiver Registry
Running a home-based caregiver registry isn’t so cut and dry. There’s a lot of specific regulations and rules that govern how these businesses operate.
We’re here to add clarity and context to make sure you put your registry in the best light while maintaining best practices. Here are some key considerations to keep in mind when operating your registry.
What not to do with your caregivers
Before making any changes to your business practices, reference official Department of Labor guidance and state/local regulations. Operating as a registry rather than an agency requires a specific approach to interactions with independent contractors. Here are some critical areas to review:
- Pay Rates: Are you setting pay rates for your caregivers, or are they determining their own rates with clients?
- Time Off: Are you telling caregivers how much time off they can take or when they can work?
- Scheduling: Are you assigning schedules for caregivers, or are they arranging schedules directly with clients?
- Training: Are you providing mandatory training or specific instructions on how caregivers should perform tasks?
Even if your healthcare background equips you to help caregivers excel, it’s essential to avoid crossing the line into activities that could reclassify your business as a home care agency. Err on the side of caution to preserve your registry status.
READ MORE: Common Mistakes Registries Make with 1099 Caregivers
—And Best Practices You Can Use Today.
The idea behind finding work through a registry or utilizing a registry to find care is to maintain control. Your business model gives clients and caregivers the opportunity to work directly with each other, instead of having a middle man involved.
Be mindful of language and your online presence
Language is critical when communicating your registry’s role and operations. The Private Care Association, for example, has long emphasized using precise language to reflect the independent nature of your caregivers. Your online presence should also align with your registry model to avoid misrepresentation and misclassification.
Some questions you can use to evaluate your registry’s language and branding:
- Does your website say, “our caregivers” or suggest employing caregivers?
- Does your website include phrases like “apply here” or imply a traditional employment relationship?
- Does your website promote benefits like health insurance, PTO, or retirement plans for caregivers? (Remember, these are independent contractors, not employees.)
Your external communications should clearly indicate that caregivers are independent contractors who work directly with clients. Missteps here can lead to confusion for caregivers and potential legal scrutiny over your business model.
An example of what to do versus what not to do:
✅ You should market your registry as a matchmaking service.
❌ You should not market home care or caregiving services.
Why this matters is because of an important distinction: you contract with caregivers who provide care, rather than providing it directly as a home care agency.
READ MORE: Ally Enables Nurse Registry to Consolidate Systems and Meet Regulations
Best practices to consider for next year
To further ensure that your registry operates as intended, consider these additional practices:
- Marketing Materials: Do your flyers or advertisements imply that your business employs caregivers, or do they emphasize connecting independent caregivers with clients?
- Client Agreements: Are your agreements between clients and caregivers transparent and direct, or do they suggest that your registry acts as an employer?
- Support Services: While offering optional resources, such as guides or tools, is fine, are you mandating specific procedures or requirements that could blur the line between registry and agency?
- Payment Handling: Are you acting as a third-party facilitator for payments (e.g., providing escrow services), or are you processing payments in a way that could imply control over caregiver compensation?
Spend your time finding ways to improve your match-making services today.
Owning a caregiver registry is a unique and rewarding business.
In order to get there, you have to understand the fundamentals and unique best practices that you might not see in similar industries and businesses.
Make sure that you set aside time to meet with proper business counsel and consult with your state/local regulations as well as federal regulations, to make sure you have a solid foundation to work off of.
If you need a place to start, check out our compliance best practices ebook for more.