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How Does the New Minimum Wage Affect My IHSS Payment?

How Does the New Minimum Wage Affect My IHSS Payment?

As an In-Home Supportive Services (IHSS) caregiver, you play a critical role in ensuring that individuals with disabilities or elderly family members receive the care they need. Given the physical and emotional demands of caregiving, it's important to be compensated fairly for your work. That's where minimum wage laws come into play—especially if you live in California, where the minimum wage is periodically adjusted.

In this blog post, we will explore how the new minimum wage laws affect your IHSS payment and what you need to know to make sure you're being paid appropriately for the care you provide.


What Is IHSS?

In-Home Supportive Services (IHSS) is a California state program that provides financial assistance to families and individuals who need help with activities of daily living, such as bathing, dressing, and meal preparation. IHSS allows caregivers to be compensated for the time they spend assisting with these tasks.

IHSS caregivers can be family members or non-family members, but the pay rate is usually determined by the minimum wage in the county where the services are provided.


How Does the Minimum Wage Affect IHSS Payments?

The amount you are paid as an IHSS caregiver is directly tied to the local minimum wage in your county. This means that whenever the minimum wage increases, your pay as an IHSS provider will likely increase as well. The wage increase could result from new statewide wage laws or local wage ordinances that mandate a higher minimum wage.

Here’s how it works:

  1. California Statewide Minimum Wage: California has a statewide minimum wage law that sets a baseline rate for wages. This applies to most workers, including IHSS providers. The wage rate is adjusted annually, typically tied to inflation or other economic factors. In 2023, the statewide minimum wage in California for employers with 26 or more employees is $15.50 per hour, while smaller employers may have different rates.
  2. County-Specific Minimum Wage: In addition to the statewide minimum wage, some counties in California have local minimum wage ordinances that require higher rates than the state minimum wage. These counties have the authority to set a minimum wage rate that is above the state-mandated rate. For example, counties like San FranciscoLos Angeles, and Oakland may have higher minimum wages due to local legislation.
  3. Impact on IHSS Providers: As an IHSS provider, your wage will follow whichever minimum wage is higher: the state minimum wage or your county’s local wage. When the minimum wage increases, your hourly rate of pay as an IHSS caregiver will also increase accordingly.

When Does the New Minimum Wage Take Effect?

The impact of a new minimum wage depends on the timing of its implementation:

  • Statewide Increases: In California, any changes to the state minimum wage typically happen in January of each year. This means that any changes made to the state’s wage rate will reflect in your IHSS paycheck starting at the beginning of the new year.
  • County-Specific Increases: Counties that have local wage laws may update their minimum wage rates at different times of the year. It’s essential to check your county’s local labor laws to stay updated on when these increases take effect. These changes will also affect your IHSS pay.

How Can You Find Out How Much You Will Be Paid?

  1. Review Your Timesheets: IHSS providers should carefully review their timesheets to ensure that they reflect the correct wage rate for their county. If the minimum wage in your area has increased, the pay rate listed on your timesheet should reflect that change.
  2. Check County or State Websites: The California Department of Social Services (CDSS) and your county's IHSS office will provide details on the current minimum wage rates for your area. If you’re in a county with a local wage ordinance, check your county’s website for updates on new wage laws.
  3. Contact Your IHSS Office: If you’re unsure about your pay rate or when it will change, you can always contact your local IHSS office to clarify the situation. They will provide the most accurate and up-to-date information regarding wage rates and how they affect your pay.

What Other Factors Can Affect Your IHSS Pay?

In addition to minimum wage changes, there are other factors that can influence your IHSS pay:

  1. Overtime Pay: If you work more than 40 hours per week, you may be eligible for overtime pay. Overtime is usually paid at 1.5 times your standard hourly rate. This is important to know if you are providing intensive care to someone who requires long hours of support.
  2. Changes in Your Hours: If the number of hours you work changes—either due to adjustments in the care plan for your loved one or other factors—you may see a fluctuation in your overall pay. These changes will be reflected in the timesheets you submit.
  3. Wage Deductions or Taxes: While IHSS wages are often exempt from federal Social Security and Medicare taxes for family caregivers, non-family caregivers are subject to these taxes. You may see deductions from your paycheck depending on your tax status. Be sure to track these deductions to understand how they impact your overall take-home pay.

What Can You Do to Make Sure You’re Paid Correctly?

To ensure you’re getting the correct pay as an IHSS provider, here are a few tips:

  1. Track Wage Updates: Stay updated on any new minimum wage laws in your county and statewide. Subscribe to newsletters from the California Department of Social Services (CDSS) or your county’s IHSS office to receive timely updates.
  2. Ensure Your Pay Rate is Correct: Double-check that your pay rate on your timesheet matches the current minimum wage for your area. If it doesn’t, reach out to your IHSS office to correct the discrepancy.
  3. Document Your Hours: Accurately record the hours you work to ensure you’re compensated for every minute of caregiving. Mistakes happen, but keeping clear records can help resolve issues quickly.
  4. Consider a Tax Professional: If you're unsure how the wage increase affects your taxes or if you’re a non-family caregiver subject to taxes, consider consulting a tax professional. They can provide guidance on how to properly file your taxes based on your earnings.

Conclusion: Stay Informed and Get Paid What You Deserve

As an IHSS caregiver, it’s essential to stay informed about the impact of minimum wage increases on your pay. In California, both the state minimum wage and local ordinances can affect how much you earn. When the wage increases, your pay will likely go up too, but it’s important to make sure your timesheets and payment rate are correct.

Need help? In California, the In-Home Supportive Services (IHSS) program provides crucial financial help for families raising children with special needs. American Advocacy Group is on the front lines every day, making positive change happen for people diagnosed with autism, Down syndrome, and a range of diagnoses across the continuum. As a leading advocate for all people with intellectual and developmental disabilities and their families, and the premier provider of the support and services people want and need, we understand the system and know how to take action regarding your best interests.

CONTACT US FOR HELP. Dial (877) 762-0702 or email us at [email protected].

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