Types of Direct Payment accounts
You can choose to receive your Direct Payment in one of three ways: through a holding account, an information only account or an 'own account'.
The type of Direct Payment account you have will affect how much control you have over your personal budget, but will not affect what you can spend it on.
In addition to your Direct Payment account, you will also need a bank account specifically for your payments to be paid into. We can help you with this.
With a holding account, the Direct Payments team will manage the payments on your behalf. The team will also open a bank account for your payments to be paid into.
- Your care or support worker will submit time sheets - that you have signed - to the Direct Payments payroll team.
- Your care or support worker will then receive payment directly into his or her bank account, and also a payslip. The tax and national insurance contribution is paid directly to HM Revenue and Customs (HMRC).
- If you choose to use an agency to provide your care, or choose to buy one-off pieces of equipment, the payroll service can make payment after receiving an invoice.
With an 'own account', you are fully responsible for all employment responsibilities, including paying your care or support worker, managing and making payments to HMRC, and keeping records. You or a representative will need to open a bank account for Direct Payment transactions.