When should a placement fee become due?
Set the trigger in the client agreement before the search begins. The agency can choose a signed offer, acceptance, or another clear milestone, then state the invoice date, payment method, and what happens if payment is late. Check that the candidate and family receive a consistent process. Any card authorization, late-fee term, or contact-release condition needs contract and payment-process review before use.
Can a family send an offer directly to a candidate before paying the fee?
Decide this in the engagement terms, not during the offer call. Specify who may communicate the offer, when the agency is copied, when the fee is earned, and how the final terms are recorded. A direct offer does not by itself answer whether payment is due. Compare the accepted offer and the signed agreement before invoicing.
How should the fee work when part-time hours later become full-time?
Write the fee base for each phase before placement. The agreement should say which hours and pay rate are used at acceptance, whether a later increase creates an additional fee, and when that adjustment is calculated. The PAO discussion did not establish a standard formula. Use a worked example in the contract so both sides can see the total under the expected schedule. For a school-year role that becomes full-time in summer, show both phases in the written estimate and explain which phase sets the fee base or triggers a later adjustment.
Should live-in housing count toward a percentage fee?
Treat housing as a separate line in the fee definition. State whether the placement fee uses cash pay alone, a stated value for lodging, or a different live-in pricing method. Do not assume a tax value is automatically the right fee value. Explain the method before the search and test it against a realistic offer.
Do benefits, bonuses, and reimbursements belong in the fee base?
Name each category in the agreement: wages, guaranteed bonuses, discretionary bonuses, stipends, reimbursements, and benefits. Say which are included, how uncertain amounts are estimated, and whether a later true-up applies. PAO owners described different practices. Payroll tax treatment is a separate question, and an agency should have its contract and tax language reviewed before making a claim about it.
What if weekly hours vary or the fee is based on several weeks of pay?
Define the calculation before naming a percentage or a four- or eight-week multiple. Use agreed guaranteed hours, a documented schedule range, or another stated base, then show a low and high illustration. Say when the final number is fixed and whether a changed schedule creates a true-up. A formula based on an unstated “typical week” invites a dispute. For a role that changes from part-time during school months to full-time in summer, show each period and its guaranteed hours separately, then state whether the fee uses one blended base or a later true-up.
What if a family cancels after an offer but before the placement starts?
Use the milestone in the signed agreement: what work has been completed, what amount is earned at offer or acceptance, and whether any cancellation amount is separate from the placement fee. Give the family a written calculation tied to that clause. Avoid inventing a percentage after cancellation. Have local counsel review the clause and its application before relying on it in a dispute.
What if a short-term placement extends into a longer role?
Define the original term and any conversion or extension trigger before the short assignment begins. When the family and caregiver want to continue, confirm the new duration, schedule, compensation, and service expectations in writing. Quote any additional agency fee from the actual signed terms; if no extension term exists, agree on the new scope before assuming a second charge.