There are two numbers to know. The 2026 self-directed individual caregiver rate is $17.13 per hour, paid directly by the state. Caregivers placed with one of CarePay Michigan's licensed home care agency partners can instead earn up to $23 per hour, since the agency bills Medicaid at a higher contracted rate and passes more of it through. That's the number everything else builds from, but the real question families ask is: what does that look like as an actual paycheck?
It depends entirely on approved hours
Pay is hourly, not a flat stipend, under either path. MDHHS approves a set number of monthly hours based on your loved one's home assessment — commonly up to 180 — and you're paid for the hours you actually work and log through EVV, up to that approved amount.
A rough example
At 180 approved hours a month self-directed, that's roughly $3,083/month before taxes at $17.13/hr. Through an agency partner paying up to $23/hr, the same 180 hours works out closer to $4,140/month before taxes. Most families are approved for fewer hours than the maximum, since approved hours track documented need, not a flat default.
Self-directed vs. agency: which pays more?
Self-direction keeps the full $17.13/hr with you and keeps care inside the family. Going through a licensed provider agency instead can pay up to $23/hr, since the agency's Medicaid billing rate is higher — in exchange, the agency handles hiring, payroll, and backup coverage. Neither is universally "better"; it depends on whether a family member is willing and able to be the caregiver.
What affects your actual take-home
Consistent EVV clock-ins matter more than people expect — missed or incomplete visits are the most common cause of payment delays. Tax treatment also varies by situation; that's covered separately in our pay guide's tax section.
Want the full breakdown of both pay paths, including how EVV connects to payment timing? See our complete 2026 pay guide.
