Last updated: October 2026
Setting your home care rates is one of the biggest decisions you’ll make as a new agency owner, and one of the hardest to undo. Charge too little and you can’t cover wages, insurance and overhead. Charge too much without a clear reason and families call the agency down the street. Once a client agrees to a rate, raising it later is difficult. That’s why it pays to get your number right before you take your first client.
This guide shows you the current national average for home care rates, a simple formula for your own hourly rate, and how to check it against your local competitors.
What Is the Average Home Care Rate in 2026?
The national median for non-medical in-home care is about $35 per hour, according to CareScout’s 2025 Cost of Care Survey. That’s up 3% from the year before. Rates vary a lot by state and city, so treat this as a starting point, not your final price. Your local market decides what families will actually pay.
A Simple Formula to Calculate Your Hourly Rate
Profitable home care rates cover much more than the caregiver’s wage. Build your rate like this:
Caregiver wage + payroll taxes and workers’ comp + insurance + office and admin costs + profit = your hourly rate
Example: if you pay caregivers $20/hr and your other costs plus profit come to $12/hr, your rate is $32/hr. Next, compare that number with what local agencies charge (see below). If it’s well under the market, you may be leaving money on the table. If it’s well over, you’ll need a strong reason families should pay more.
Know Your Local Caregiver Wages
Caregiver pay varies by region, demand and experience. Caregivers with specialized skills usually earn more, so your rates should reflect them. Examples include:
- Dementia or Alzheimer’s care
- Mobility and transfer assistance
- End-of-life care
- Complex personal care
When local wages rise, your home care rates need to rise with them to keep your agency sustainable.
Find Out What Local Agencies Charge
The fastest way to price with confidence is to learn the home care rates your competitors actually charge. Start with their websites, since many list starting hourly rates. Then call them. A short, structured call tells you:
- Hourly rates and any minimum visit length
- Services offered
- Extra fees (weekends, holidays, mileage)
- How they handle last-minute requests
Don’t guess on your calls. Use a script.
The Home Care Competitor Call Script Template tells you exactly what to ask, so you get real pricing information in a few minutes per call and can compare agencies side by side. It’s an editable Word document that’s ready to use today.
Common Home Care Pricing Structures
- Hourly rates: most common for companionship and personal care
- Daily rates: for 12- or 24-hour shifts
- Weekly or monthly packages: steady schedules at a set price
- Flat-rate service plans: fixed tasks such as a weekly errand run
Most new agencies set their home care rates by the hour, with a minimum visit length (often 2–4 hours).
Services That Justify a Higher Rate
- Emergency or last-minute care
- Transportation to appointments and errands
- Specialized dementia care
- Personal care such as bathing assistance
- Overnight supervision
Experienced caregivers, reliable vehicles and flexible scheduling all add value that families will pay for.
Other Costs to Build Into Your Price
- Caregiver training and certifications
- Liability insurance and bonding
- Vehicle and mileage costs
- Scheduling, payroll and admin time
- Licensing fees in regulated states see Home Care Startup Requirements
Why the Right Rate Matters
Well-calculated home care rates let you pay caregivers fairly, stay insured and licensed, deliver quality care, and build a stable business, instead of one that’s busy but broke.
Home Care Rates FAQ
How much should I charge for home care per hour?
Start with your full cost per hour (wage plus taxes, insurance, overhead and profit), then check it against local agencies. The 2025 national median is about $35/hr.
Should I charge a minimum number of hours per visit?
Most agencies do. Short visits cost you almost as much in travel and scheduling as long ones.
Do home care agencies charge more on weekends and holidays?
Many do, especially on holidays, since caregivers are often paid a premium for those shifts.
How do I find out what other agencies charge?
Check their websites, then call them with a structured competitor call script so you can compare answers side by side.
Ready to Start Your Home Care Business?
Pricing is just one piece. The How to Start a Non-Medical Home Care Business Guide walks you through the whole startup process step by step. It’s written by Danielle Foley, who has owned a non-medical home care agency for more than 10 years, and covers operations, policies and the documents you’ll need, so you can launch with confidence instead of learning through costly mistakes.
Need everything at once? See the Home Care Agency Templates Bundles.
