{"id":5132,"date":"2022-03-23T17:56:38","date_gmt":"2022-03-23T17:56:38","guid":{"rendered":"https:\/\/melodybenefits.com\/?p=5132"},"modified":"2022-06-08T20:44:35","modified_gmt":"2022-06-08T20:44:35","slug":"inhouse-or-outsource-ny-wage-parity-benefits","status":"publish","type":"post","link":"https:\/\/melodybenefits.com\/inhouse-or-outsource-ny-wage-parity-benefits\/","title":{"rendered":"NY Wage Parity Benefits: Outsource or In-house?"},"content":{"rendered":"<p><b>Outsource or In-House? The Best Approach to NY Wage Parity Benefits<\/b><\/p>\n<p><span style=\"font-weight: 400;\">Can you administer NY wage parity benefits on your own?<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">\u201cThe answer is yes,\u201d says Shaya Sternhill, Melody Benefits Head of Marketing and Business Development. \u201cTechnically, a <a href=\"https:\/\/melodybenefits.com\/successful_home_healthcare_agency\/\" target=\"_blank\" rel=\"noopener\">home healthcare agency<\/a> COULD manage wage parity benefits on its own.\u201d<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">The real question is, \u2018Why would you want to?\u201d<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Do you do payroll on your own? Do you service your car or fix your plumbing?<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Probably not. Busy (and effective!) people quickly learn to outsource whatever they can and focus on what they do best.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Which is why it makes sense to hire a wage parity TPA (third party administrator), the same way you hire a payroll company, plumber, or car mechanic.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">But hiring a TPA is about more than convenient outsourcing.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><b>Doing it yourself may seem to save money in the short run. But the long term costs can be dramatic, including penalties, extra staffing, and employee dissatisfaction.<\/b><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Here\u2019s why using a TPA pays for itself:<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><b>1. You\u2019ll save time = money\u00a0<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Administering wage parity benefits is time-consuming.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">And time equals money.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">If you manage your wage parity benefits, you\u2019ll be paying employees to fill out paperwork, maintain records, and stay on top of regulations.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">But your most significant time drain may be employee communication and experience. HHAs need quick, accurate answers to a stream of time-sensitive questions:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Where can I use my benefits?<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">How do I set up my account?<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">How do I get my PIN?<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">How do I file a claim?<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Do my benefits rollover to next month?<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">\u201cWe field <\/span><b>250<\/b><span style=\"font-weight: 400;\"> customer service questions a day from home healthcare aides,\u201d says Shaya.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><b>Managing your wage parity benefits can require a full-time staff member for customer service alone!<\/b><span style=\"font-weight: 400;\"> Hiring a TPA instead takes the wage parity workload off your employees.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Maybe you\u2019re thinking, \u201cOkay, why bother with this? I\u2019ll just pay cash.\u201d However, benefits are almost always more cost effective than cash payments.<\/span><a href=\"https:\/\/melodybenefits.com\/cash-in-lieu-of-wage-parity-benefits-5-reason-not-to\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\"> Here\u2019s<\/span><\/a><span style=\"font-weight: 400;\"> how wage parity benefits improve cash flow and save money on payroll taxes and overtime.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><strong>2. You\u2019ll get help when compliance get confusing<\/strong><\/h2>\n<p><span style=\"font-weight: 400;\">NY <a href=\"https:\/\/melodybenefits.com\/make-ny-wage-parity-laws-work-for-you\/\" target=\"_blank\" rel=\"noopener\">wage parity laws<\/a> are detailed, complex, and sometimes unclear. Plus, they keep changing.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">For example, the <\/span><a href=\"https:\/\/www.budget.ny.gov\/pubs\/archive\/fy21\/exec\/index.html\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">2020-2021 state budget bill<\/span><\/a><span style=\"font-weight: 400;\"> amended New York\u2019s Wage Parity Law in a few significant ways. <a href=\"https:\/\/melodybenefits.com\/20-21-ny-state-budget-wage-parity\/\" target=\"_blank\" rel=\"noopener\">Beginning in October 2020, agencies had to include additional information on Notice of Pay Rate forms and weekly wage statements.<\/a> That documentation is required for each employee by the Wage Theft Prevention Act (WTPA).<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">The New York Department of Labor (NYDOL) released a new Notice of Pay Rate <\/span><a href=\"https:\/\/labor.ny.gov\/formsdocs\/wp\/LS62.pdf\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">Form LS 62 <\/span><\/a><span style=\"font-weight: 400;\">for agencies to use. But many agencies found the form confusing.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Agencies were scrambling. They needed to issue new Wage Notices and updated wage statements for all their aides. The details were overwhelming and ambiguous, while non-compliance came with hefty penalties,\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">The new bill added fines and criminal penalties for undercompensating HHAs.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Plus, the penalty for non-compliance with the WTPA\u00a0 is <\/span><span style=\"font-weight: 400;\">up to $10,000 per employee!<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">\u201cWe researched and studied the new laws. Every agency has to seek its own legal counsel, of course, but we reached out to our agencies to educate and answer questions,\u201d says Shaya. \u201cThat\u2019s one of the benefits of working with a TPA.\u201d<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><b>3. You\u2019ll avoid costly mistakes<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">And even when the laws remain stable, wage parity compliance is tricky. It\u2019s all too easy to make <a href=\"https:\/\/melodybenefits.com\/5-biggest-wage-parity-mistakes\/\" target=\"_blank\" rel=\"noopener\">costly mistakes<\/a> if you do wage parity on your own. For example:<\/span><\/p>\n<p>&nbsp;<\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Do all your benefits qualify for wage parity?<\/b><span style=\"font-weight: 400;\"> The New York Labor Law is specific.<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Are you calculating your benefits\u2019 spends accurately?<\/b><span style=\"font-weight: 400;\"> If not, you could face penalties, <a href=\"https:\/\/melodybenefits.com\/home_healthcare_audits_surveys\/\">audits<\/a>, and lawsuits.<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><b>Are your records correct?<\/b><span style=\"font-weight: 400;\"> Agencies often use Excel spreadsheets, but entering information just one line off can corrupt the entire file.<\/span><\/li>\n<\/ul>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">\u201cWhen agencies send us their payroll reports, we often catch faulty reports. We enter all our information into proprietary software that reduces the risk of error,\u201d explains Shaya.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><b>4. You\u2019ll give your employees an outstanding wage parity experience<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">When done right, HHAs appreciate the perks of wage parity benefits. They reciprocate with commitment and positivity.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">And when it comes to employee experience, TPAs definitely have an advantage. You have your hands full managing employees, clients, and Medicaid payments.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><b>But a TPA lives and breathes wage parity. It can focus on bringing you and your employees the best in wage parity benefits.<\/b><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">\u201cWe dream about wage parity benefits,\u201d jokes Shaya. \u201cWe\u2019re always improving our service.\u201d<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Shaya describes some Melody Benefits features which make life as an HHA receiving benefits easier and even more fun.<\/span><\/p>\n<p>&nbsp;<\/p>\n<p><span style=\"font-weight: 400;\">Things like:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\"><a href=\"https:\/\/melodybenefits.com\/empowering-employees-to-maximize-wage-parity-benefits\/\" target=\"_blank\" rel=\"noopener\">Educational materials<\/a> to help HHAs understand and use benefits<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Prompt answers to HHA questions<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">Robust, transparent reports to track employee usage<\/span><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Find out how in-house wage parity administration can cause penalties, staffing excess, and employee dissatisfaction.<\/p>\n","protected":false},"author":1,"featured_media":5420,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":"","_vp_format_video_url":"","_vp_image_focal_point":[]},"categories":[16],"tags":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.7 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>NY Wage Parity Benefits: Outsource or In-house? 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