Kin caregivers aren't eligible for federal foster care reimbursement until they complete the licensing process. In many states, this can take hundreds of days, and some states have allowed kin caregivers to remain unlicensed (and unpaid) idefinitely. This lack of financial support can severely impact a kin caregiver's ability to provide a stable placement.
Pay kin caregivers while they work through the licensing process to help them financially support youth in their care.
How to do this
Pay kin caregivers from day 1 and get them cash immediately. This generally requires state funds. Don't rely only on your standard payment system. Agencies typically use payment systems that cut checks twice a month, which means a caregiver could wait up to 40 days to get their first check. Investigate ways to speed up this process while you give cash or vouchers to immediately to cover this gap.
Streamline your kin licensing process. Follow the recommended kin licensing standards to help kin get licensed and eligible for regular payments faster.
Make payments regardless of federal reimbursement. If a kin caregiver is disqualified from federal reimbursement, but you or the court have determined youth are safe to stay in their home, use agency funds upon placement to provide full foster care maintenance payments. Kin should never have to pay this back.
This strategy in action
California's Emergency Caregiver Funding Program provides funding for up to 365 days to caregivers before they are approved.
Ohio can provide kin caregivers with payments for up to 6 months if the relative has an approved home study. This money comes from state funds.
Michigan can use state funds for unlicensed kin caregivers.
Oklahoma pays kin caregivers for the first 60 days after they take the child or youth into their care. By then, they are usually licensed and eligible for regular maintenance payments. If the caregiver is still not licensed and Oklahoma determines the delay is due to the state, it will continue paying the kin caregiver until they're licensed.
Oklahoma has a 1-time Kinship Start Up Stipend (KSUS) after the child has been in placement for 15 days. It’s equivalent to a month of foster care maintenance.
Illinois has a Startup Fund Program where new placements start with a $500 Visa prepaid gift card for caregivers.
Resources
Kin licensing standards
Kin-Specific Foster Home Approval offers national recommended standards for working with kin, including guidance on background checks, assessments, and policy review.
Learn more