California Care Compass

Updated 2026-05-21

Comparison · A side-by-side

Home health vs. home care in California, in plain terms.

Home health is short-term skilled nursing or therapy ordered by a doctor and paid by Medicare for a homebound patient. Home care is ongoing non-medical help with bathing, dressing, meals, and companionship, arranged by the family and paid by IHSS, long-term-care insurance, the VA, or private funds. The two services look similar at the door but answer different questions and follow different rules in California.

The bottom line

Home health is short, skilled, and Medicare-paid; home care is ongoing, custodial, and paid by IHSS, long-term-care insurance, or private pay.

Side by side

Home health

Short, skilled, doctor-ordered

Home care

Ongoing, custodial, family-arranged

  • What it is
    Skilled medical care at home: nursing visits, physical therapy, occupational therapy, speech therapy, wound care.
    Non-medical help at home: bathing, dressing, toileting, meals, light housekeeping, companionship, transportation.
  • Who orders it
    A physician, nurse practitioner, or physician assistant after a face-to-face visit.
    The family, the older adult, or a care manager. No medical order required.
  • Who provides it
    A Medicare-certified home health agency, licensed by CDPH as a Home Health Agency (HHA).
    A Home Care Organization (HCO) licensed by CDSS, or an IHSS provider, or a privately hired caregiver.
  • How long it lasts
    Short episodes of care, typically a few weeks, recertified every 60 days while the patient still qualifies.
    Open-ended. Can run for months or years, scaling up as needs change.
  • Who pays
    Medicare Part A or Part B at 100% when the patient is homebound and needs skilled care. Medi-Cal and most commercial insurance also cover it.
    IHSS for Medi-Cal recipients, long-term-care insurance, VA Aid and Attendance for eligible veterans, or private pay. Medicare does not cover it.
  • Co-pay
    No co-pay for home health visits under Medicare. A 20% co-pay applies only to durable medical equipment.
    Full hourly rate if private pay (roughly $35 to $45 per hour in most California metros in 2026). IHSS pays the worker directly.
  • Skilled vs custodial
    Skilled. Care must require the judgment of a licensed clinician.
    Custodial. Help with the activities of daily living, by definition not skilled.
  • Homebound requirement
    Yes. To qualify for Medicare home health, the patient must have difficulty leaving home without help.
    No. The person can be fully mobile and still receive home care.
  • California license
    CDPH Home Health Agency (HHA) license, plus Medicare certification.
    CDSS Home Care Organization (HCO) license, with each caregiver registered as a Home Care Aide (HCA).
  • Where care happens
    In the patient’s primary residence, which for Medicare purposes can include an assisted living community or a family member’s home.
    Anywhere the family arranges: a private home, an assisted living apartment, or even a hospital room for an extra set of hands.

The first thing that confuses families

The two services share a setting, and the workers sometimes wear similar uniforms. A nurse who arrives twice a week to change a wound dressing and a caregiver who arrives every morning to help your parent shower are doing, from a distance, the same job: keeping your parent at home. The American system treats them as different animals.

Home health is a medical benefit. It exists because a physician decided your parent needs skilled care, that the care can be delivered safely at home, and that traveling to a clinic would be too hard. The visits are short, the goals are written, and Medicare pays the agency directly. When the goals are met, or when the patient is no longer homebound, the benefit ends.

Home careis a private arrangement. The family decides someone needs help with the tasks that keep a person dignified and safe, then pays for that help by the hour or by the day. There is no doctor’s order, no clinical chart, no Medicare claim. There is a schedule, a caregiver, and a bill.

What home health actually looks like

After a hospital stay, a discharge planner often arranges a referral to a Medicare-certified home health agency. Within 48 hours, a registered nurse arrives at the home for a SOC visit (start of care). She takes vitals, reviews medications, looks at the home for fall hazards, and builds a plan of care that the physician signs.

The plan might include, in any combination:

The patient pays nothing. The agency bills Medicare. Every 60 days, the team reviews the plan and either recertifies it (because the patient still has a skilled need and is still homebound) or discharges the patient to whatever comes next, often home care.

What home care actually looks like

A family realizes that their mother, who lives alone in Pasadena, is forgetting meals, leaving the stove on, and showering less often. They call a home care agency. A care manager visits, assesses, and proposes a schedule of four hours each morning, seven days a week.

The caregiver does the work that keeps a person safe and clean:

The family pays the agency, usually weekly. There is no Medicare involvement. If the family qualifies for Medi-Cal, the same work might be done by an IHSS provider, paid by the state, with hours authorized after a county social-worker assessment.

How California licenses each one

California regulates the two services through different departments, with different rules and different enforcement.

Home health agencies are licensed by the California Department of Public Health (CDPH), Center for Health Care Quality. To bill Medicare, an agency also needs CMS certification on top of the state license. Surveys happen on a multi-year cycle and include record audits and home-visit observations.

Home care organizations are licensed by the California Department of Social Services (CDSS), Home Care Services Bureau, under the Home Care Services Consumer Protection Act of 2013. Every individual caregiver hired through a licensed agency must register as a Home Care Aide on the public CDSS registry, with a background check and TB clearance. Families can verify a caregiver’s registration online.

The money question

Almost every confusing conversation between a family and a discharge planner traces back to the same misunderstanding: families assume Medicare will pay for the help they need, and they hear “home health” and think the problem is solved. It is not.

Medicare home health covers what a doctor orders, only as long as the doctor orders it. When the wound has healed and the physical therapy has met its goals, the benefit ends. If your parent still cannot safely shower alone, that is a home-care need, and Medicare will not pay for it. The family pays privately, or applies for IHSS through their county, or files a long-term-care insurance claim, or applies to the VA for Aid and Attendance if a parent is a wartime veteran or surviving spouse.

This is the gap that surprises families most. It is also the gap that California’s public programs were designed to fill, which is why understanding the difference between the two services is the first step in any plan for staying at home.

How to choose, or whether to use both

Most families do not have to choose. The two services solve different problems and often run at the same time. A typical sequence after a hospital discharge looks like this:

  1. Home health starts within 48 hours. Medicare pays.
  2. The family also hires home care for the hours, evenings, and tasks that home health does not cover.
  3. After six to eight weeks, home health discharges the patient.
  4. Home care continues, with hours scaled up or down based on how the recovery actually went.

If you are looking at agencies, verify the license for the service you are buying. A CDPH license number for home health. A CDSS HCO number for home care. Each agency’s license should be visible on its website or marketing materials. If it is not, ask.

Related guides and next steps

This guide explains differences and coverage, not medical advice. Talk to a licensed clinician about care decisions. California Care Compass does not place referrals on Compare pages.

Common questions

7 entries

Does Medicare ever pay for home care?

No. Medicare pays for home health, which is short-term skilled nursing or therapy after a doctor’s order. It does not pay for non-medical home care such as help with bathing, meals, or housekeeping, no matter how necessary that help is.

Can the same agency provide both?

Sometimes. Some California companies hold both a CDPH home health license and a CDSS home care license. The two services are still billed and documented separately, with different staff and different rules.

What does “homebound” actually mean?

Medicare considers a person homebound when leaving home requires considerable effort and the help of another person or a device, and when leaving is infrequent or for short periods, mostly for medical care. A weekly trip to a salon does not disqualify someone.

Is IHSS the same as home care?

IHSS is a California public program that pays a caregiver, often a family member, to provide home-care services for a person on Medi-Cal who would otherwise need a nursing home. The work is home care. The funding source is what makes it IHSS.

How long does Medicare home health last?

As long as the patient still needs skilled care and remains homebound. Care is authorized in 60-day episodes and can recertify many times. The often-repeated “100-day limit” belongs to skilled-nursing-facility care, not home health.

What does private home care cost in California in 2026?

Roughly $35 to $45 per hour through a licensed agency in coastal metros, with live-in arrangements in the $400 to $600 per day range. Long-term-care insurance and VA Aid and Attendance can offset these costs for eligible families.

Do home-care aides give medications?

In California, home-care aides can remind a client to take medication and hand them a pre-filled organizer, but they cannot administer medication. Anything beyond that requires a licensed nurse, which is home health, not home care.

Sources

  1. 01Centers for Medicare & Medicaid Services · Medicare home health services · accessed 2026-05-21
  2. 02California Department of Public Health · Home Health Agency licensing · accessed 2026-05-21
  3. 03California Department of Social Services · Home Care Services Bureau: Home Care Organizations and Aides · accessed 2026-05-21
  4. 04California Department of Social Services · In-Home Supportive Services (IHSS) program · accessed 2026-05-21
  5. 05Centers for Medicare & Medicaid Services · Medicare Benefit Policy Manual, Chapter 7: Home Health Services · accessed 2026-05-21
  6. 06U.S. Department of Veterans Affairs · Aid and Attendance benefit · accessed 2026-05-21