Is Your Home Care Agency on Track? A Mid-Year Financial Health Check
We’re halfway through the year—can you believe it? This is the perfect time to take a deep breath, step back, and look at your agency’s financial picture. Not just to crunch numbers, but to make sure your business is working for you—not the other way around.
At Face Finances, we help home care agency owners gain clarity, reduce stress, and make smart decisions with their money. And this mid-year check-in? It’s a powerful tool to help you realign, reset, and refocus.
Whether you’ve had a strong start to the year or things feel a little chaotic behind the scenes, this blog will walk you through what to review—and why it matters.
Why a Mid-Year Financial Check Matters
Too often, home care agency owners are so focused on daily operations—scheduling, compliance, hiring—that finances take a back seat. But financial clarity is the foundation of a thriving, sustainable agency.
A mid-year review gives you the opportunity to:
Catch small issues before they grow
Make data-driven decisions for the rest of the year
Prepare for year-end taxes now, not later
Adjust your goals based on what’s actually happening in your business
1. Look at the Big Picture: Revenue & Profitability
First, ask yourself: Are you making money—and keeping it?
Pull your Profit & Loss (P&L) statement for January through June. Look at:
Total revenue
Total expenses
Net profit
Compare these numbers to the goals you set at the beginning of the year (or, if you didn’t set goals—now’s a great time to start). Are you ahead, behind, or right on track?
📝 Pro tip: Profitability isn’t just about how much you earn—it’s about how much you keep after paying your team, bills, and taxes.
2. Follow the Money: Cash Flow
Cash flow is the lifeblood of your agency. You might be profitable on paper, but if reimbursements are delayed or expenses are rising, it can feel like you're constantly playing catch-up.
Ask yourself:
Are you consistently cash-positive each month?
Do you have enough cash reserves to handle unexpected expenses?
Are there outstanding client payments slowing you down?
A clear cash flow statement will show you what’s coming in, what’s going out, and when.
3. Review Your Expenses
Mid-year is a great time to evaluate where your money is going. Are you spending wisely?
Consider:
Are labor costs (including overtime) in line with your budget?
Are there software or subscription fees that no longer serve you?
Have vendor prices gone up without you noticing?
Even trimming small unnecessary costs can improve profitability.
4. Check Payroll & Compliance
Payroll is one of the biggest (and most sensitive) expenses in home care. It’s not just about paying your team—it’s about paying them correctly and on time.
Review:
Are hours and reimbursements tracked accurately?
Are payroll taxes filed and paid timely?
Is your payroll provider (or system) still serving your needs?
If you’ve had any late filings, miscalculations, or compliance concerns—it’s time to tighten up.
5. Plan Ahead: Budgeting & Forecasting
Looking back helps you understand where you are—but looking forward is how you shape where you’re going.
Now’s the time to update your budget and forecast for the second half of the year.
Ask yourself:
Based on actual data, do I need to adjust my goals?
Are there any big expenses coming up (new hires, software, marketing)?
What changes can I make to stay (or get) on track?
Grab the Free Checklist
Want a simple way to run through all of this? I’ve created a free Mid-Year Financial Health Checklist you can download and use right away. It’s straightforward, actionable, and designed just for home care agencies.