Direct Payments Frequently Asked Questions
Here are the most frequently asked questions regarding Direct Payments that will summarise the information you have been given. If you are unsure about any aspect of your Direct Payments do not hesitate to contact Direct Payments Team on 01942 489579 or by email to dasdirectpayments@wigan.gov.uk
The following information is provided by Wigan Council
How do I get Direct Payments?
A Social Care Officer or Social Worker will undertake a Social Care Assessment to determine if you are eligible for services from Wigan Council. If the outcome of this assessment is that you are eligible for funded services, you will be advised of the amount of money we will make available to buy the support you need – this is known as a Personal Budget.
A Direct Payment is the cash that a person chooses to receive from their Personal Budget in order to arrange services for themselves. This may be all or part of your Personal Budget and you may then choose Direct Payments. The amount you will receive depends on this assessment and your Social Care Officer/Social Worker will discuss this with you. Your Social Care Officer/Social Worker will inform the Direct Payments Team of the amount of Direct Payments you could receive.
How do I know how much I will get?
This depends upon your Assessment. If you decide to choose a Direct Payment a Direct Payment Advisor will visit you to discuss your needs and calculate the amount of support you could afford to purchase.
Will I have to pay anything?
Anyone who receives a service from Wigan Council (this includes Direct Payments) will be required to have a Financial Assessment completed to determine if they will have a contribution to make towards their services. This will be undertaken by our Financial Assessment Team and you may already have been assessed. If not, someone from our finance team will contact you shortly. There is no contribution required if the Direct Payment is for a child.
What can i use the money for?
The money must be used to meet the needs and outcomes that have been agreed in your Support Plan. You will be able to choose whether to employ your own staff, or to pay an agency of your choice. If you wish, you can employ a relative who does not live with you, however, if you choose to employ a relative that person will not be able to help you to run the scheme.
(Further information regarding employing a Personal Assistant can be found at the end of this document).
Budgetting
Wigan Council have offered you a weekly amount of money to meet needs as outlined in your Support Plan. When choosing a Direct Payment, it is important that you manage your weekly budget effectively to achieve the best outcomes for your situation.
If you employ a Personal Assistant, this amount includes not only their wages, but other employer on-costs such as holiday pay, and employer’s insurance. You can decide how the money is spent but you must ensure that you are a legal employer by paying the minimum wage and allowing statutory holiday pay.
You can choose whether you want to employ your own staff or if you prefer to purchase support from an agency or even a combination of both. Please note that if the cost of your support is greater than your weekly Direct Payment, you will be responsible for paying any additional cost.
Where does the money go?
Once you decide to proceed with Direct Payments you will need to open a separate bank account (a current account with cheque book) and arrange monthly bank statements. We will then pay your Direct Payments into this account on a weekly basis.
If you prefer you can have your Direct Payment funds paid to a “Managed Account”, this means an organisation can receive the funds on your behalf (you will still direct how the funds are spent) your Direct Payments Advisor will give you more details. If you choose to employ Personal Assistants, you will still be the legal employer even though your funds are paid to a 3rd party.
How often will I receive Direct Payments?
When you are ready to commence Direct Payments, we will pay you 1 week’s money in advance. We will then pay your regular payment every week thereafter. We will backdate any payment to the date it has been agreed you can commence on the scheme. If you choose to employ your own staff, we also make a payment to you to cover Employers & Public Liability Insurance which will come out of your Direct Payment.
What happens next?
When you have your bank account set up and your staff/agency ready to start we will visit you again to ask you to sign a Direct Payments Agreement. The Direct Payment funds will start to be paid into your account on the next payment date after the Agreement is signed. This visit will also be an opportunity to discuss how the scheme will work for you.
Is there a lot of paperwork involved?
We try to keep paperwork to a minimum. All we ask is that your Personal Assistant completes a time sheet on a regular basis, and that every time you write a cheque you enter the details on the Budget Statement provided. You should retain any receipts or invoices for any purchases made from the Direct Payment funds.
Do you inspect my paperwork?
We will visit you on a regular basis to carry out an audit and ensure you are happy with the Direct Payment arrangements. This is usually 8 weeks after you commence, then if everything is in order, 6 months later and after that once a year. For this we will need to see your cheque book, your bank statements and your completed budget statement and time sheets.
What if someone cannot consent to Direct Payments but it would be in their best interest to have their support provided this way?
If the person wanting to receive Direct Payments is not capable of understanding and running the scheme, even with assistance, then it may be that they will need a nominated/authorised person to run the Scheme on their behalf. Wigan Council need to agree who this person will be and what systems will be put in place to manage the support and the funding. Your Direct Payments Advisor can provide you with more information.
What if my needs or circumstances change?
You should contact the Initial Assessment Team (IAT) on 01942 828777 (or your Social Care Officer/Social Worker if they are still involved with you) if you feel your level of support is not appropriate to meet your needs and a re-assessment will be arranged. Your Social Care Officer/Social Worker will arrange for an annual review of your services in line with statutory requirements.
What if someone spends the Direct Payment funds on something it isn’t meant for?
The person who is responsible for the Direct Payment will be asked to repay the funds immediately. The Direct Payments Manager may then decide that the Direct Payments need to be paid via a Managed Account or 3rd party service.
If you choose to employ Personal Assistants
- Should you choose to employ a personal assistant you become responsible for organising your support and the associated responsibilities of becoming an employer which include the following:
- Arranging rotas.
- Keeping records of the hours you’re PA(s) work, holidays taken or any sickness.
- Reporting to your payroll provider the hours your PA(s) have worked and of any changes in pay rates.
- Ensuring wages are correct and paid on time.
- Managing holidays and finding cover.
- Maternity Pay/Paternity Pay.
- Contracts of employment and job descriptions.
- Dealing with disciplinary matters i.e. Poor time keeping
Your Direct Payments Advisor will signpost you to payroll service providers that can support you with this. A payroll provider will produce payslips for your Personal Assistants and calculate any deductions required such as tax/national insurance. Please note this does not take away your responsibility as an employer but minimises the work you need to do.
As an employer you are responsible for ensuring you retain enough funds from your Direct Payments to cover the holiday pay that your Personal Assistants are entitled to. Your Direct Payment Advisor will discuss with you how much you can pay in wages and how many hours per week you can arrange.
- You are also responsible for the health and safety of your staff and you will need to arrange Employers and Public Liability insurance. Your Direct Payments Advisor will provide further information regarding this matter and if you have any concerns in this area you should contact the Health and Safety Executive helpline for advice.
- You will be responsible for meeting your support needs and may need to seek relevant training for your PA(s).
- You will be responsible in ensuring your PA has a DBS (criminal record/police check).
- You will need to operate within employment law regulations.
- Expenses
Wigan Council encourages people to be creative within their budget in order to achieve better outcomes, but sometimes understanding what an acceptable use of funding is/is not can be confusing.
Most commonly there is a belief that Direct Payments may only be used for staff wages and this is not the case. There are several expenses that you are likely to incur when managing your own support and these can be taken from your Direct Payments.
The following checklist includes most of the usual costs that can be covered. If you are unsure whether an expense would be allowed, please contact the Direct Payments Team to discuss before making your purchase.
Employer on-costs
- Wages – your Personal Assistant’s wage should come from the direct payments.
- Employers National Insurance Contributions
- 6 weeks holiday pay
- Statutory Sick Pay
- Employers & Public Liability Insurance
- Training (Wigan Council can offer most courses via our in-house training department free of charge)
- Disclosure and Barring Service (criminal background) check
Please note – If you are using an agency rather than employing your own staff all these costs are included within the hourly rates the agency charges.
Personal Assistant expenses not allowed
- Travel expenses for PAs whilst at work – these costs should be covered from your mobility benefits/private funds. Your PA would not be expected to cover petrol costs (even if using their own vehicle) as they should not be out of pocket when they come to work. Please note if your PA uses their own vehicle for work they must ensure that their policy incudes “business use” (this is usually free to add). In order to cut down on travel costs you should try to access services/activities locally and this will also support you to make natural connections within your community.
- Food for PAs – PAs would be expected to provide their own meals during their working day and the provision of drinks would be at your discretion. If your PA was required (as part of their support) to accompany you on a special meal, to an expensive restaurant for example then you should consider paying for their meal as it may not be something that they can afford and it might not be appropriate for them not to eat. Every situation is considered on a case by case basis and employers/Direct Payments Team will use their discretion when making this decision.
- Mobile phones for PA
- Cost of PA tickets/entry fees – sometimes it may be more cost effective (if the PA agrees) for you to pay for their ticket instead of their wages and this would be acceptable. Otherwise Direct Payments should be used to purchase “support” only. Often carers will be admitted “free of charge” or at reduced rates to events/activities when accompanying you. Again, employers/Direct Payments Team will use their discretion when making this decision.
- PA holidays/breaks – as above it may be more cost effective (if the PA agrees) for you to cover the cost of their holiday rather than the cost of their support and this would be acceptable. Otherwise Direct Payments should be used to purchase “support” only.
- Travel to and from work for PAs – PAs would be expected to cover their own travel costs.
General expenses not allowed
Unless specifically referred to in your Self Supported Assessment, the following is a list of items that are not normally be paid from your Direct Payments funding.
- Food for yourself.
- Blue Badge administration fee
- Purchase or maintenance of stair lift/other disability related equipment. (Unless specifically supplied as part of the Direct Payment agreement)
- Any adaptations to the home, grab-rails etc (unless supplied as part of the Direct Payment agreement)
- Medical supplies (should come from NHS).
- Holidays for yourself/family
Please remember that it is your responsibility to manage the money you have been given as a Direct Payments and you are therefore liable for any overspend.
