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Calculating the Real Costs of Home Care: A Costing Model (2003)IntroductionThe United Kingdom Home Care Association (UKHCA) has received financial support from the Department of Health through Section 64 funding to undertake a thorough analysis of the costs of providing home care services. AimsThe aim of developing the Costing Model was to:
MethodologyAn Expert Group with representatives from a wide group of key stakeholders, including both independent and public sector providers, leading health care analysts, government etc. steered the project and input was also sought from a number of providers. The model was developed by Starfish Consulting to a brief approved by the Steering Group. The model was tested with a number of sites which comprised a range of different types of provider organisations such as: a large voluntary organisation; a small private agency in a rural area; an in-house service. OutcomesThe Costing Model is very user-friendly, being produced as a Microsoft Excel spread-sheet. It calculates the actual cost of an hour of home care based on existing contractual commitments. Download the costing model. Information on current commitments are input, for example: the direct hours of care provided, the number of service users, the number of visits, the timing of visits (time bands), travel (distance and time). It then requests information regarding staff resources needed to provide the service, including the posts in the organisation, their roles and the hours they work, the time spent on management and/or client care, non-contact time. It provides an initial check so that the organisation can see whether it is providing adequate cover for the hours of care to which it is committed. It then uses the staffing information and adds the costs of posts, factoring in the on-costs. At this stage it will be possible to establish the costs of induction and basic training, ongoing training and supervision, leave and sickness costs, unsocial hours etc. Indirect costs, such as office accommodation, equipment, marketing etc. are then added into the equation. The model allows for a surplus/profit margin to be applied with the resulting unit costs broken down by yearly, weekly and hourly costs (this is also illustrated within a pie chart within the model). The resulting breakdown of costs will enable open discussion between providers and commissioners as a means of negotiating the price of providing services by using justifiable cost components. ReportFurther InformationFor further information contact Kim Grove on 020 8288 1713 or email kim.grove@ukhca.co.uk for details. You can also download a copy of the costing model. Home - About Us - Choosing Care - UKHCA Membership - Homecarer - Publications - Disclosure - Conferences & Workshops - Training - Assessment Centre - Projects - Media Statements - For Researchers - For Advertisers - Site Map - Links - Contact Us - Accessibility - Top of Page Disclaimer: All efforts have been made to ensure the accuracy of this site's information. Please note that advice given on these pages is intended to be general advice only, was correct at time of publication, and will be updated from time to time. No responsibility can be accepted for action taken, or refrained from, solely by reference to the contents of this web site. Users are reminded of the need to take accurate advice appropriate to their own requirements. If you have any comments on this web-site please contact the webmaster. View our Privacy Statement.
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