ARIS Solutions Vermont: How the Fiscal Agent Works for Consumer-Directed Care

When Vermont families choose the consumer-directed model under Choices for Care or the Attendant Services Program, they become the employer of their parent's caregiver — responsible for hiring, scheduling, training, and supervising the aide. But they don't handle payroll. That's where ARIS Solutions comes in.

What ARIS Does

ARIS Solutions is the state's contracted Fiscal Employer Agent (FEA) for Vermont's self-directed care programs. They sit between your family and the IRS, handling the financial and compliance mechanics that most families aren't equipped to manage:

• Payroll processing — caregivers submit bi-weekly timesheets, and ARIS processes payment
• Tax withholding — federal income tax, Social Security, Medicare, and Vermont state tax
• W-2 issuance — year-end tax documents for every caregiver on your roster
• Workers' compensation insurance — ARIS carries the policy, protecting both the caregiver and your family from liability if the aide is injured on the job
• Employment eligibility verification — Form I-9 processing for every new hire

Without ARIS, families in the consumer-directed model would need to register as an employer with the IRS, set up a payroll system, manage quarterly tax filings, carry their own workers' comp policy, and ensure compliance with state and federal labor laws. For most families already managing a parent's care crisis, that administrative burden is prohibitive.

How Enrollment Works

Step 1: Employer Enrollment

The participant (your parent) or their surrogate (typically an adult child acting on their behalf) completes the ARIS Employer Enrollment Packet. This establishes your family as the legal employer of record. The packet includes:

• Employer identification and contact information
• Program authorization (CFC Flexible Choices, ASP, or other qualifying program)
• Designation of the surrogate employer if the participant can't manage employment duties independently

Step 2: Employee Hiring

Each caregiver you hire completes the ARIS Employee Hiring Packet, which includes:

• Personal identification and contact information
• Form I-9 (Employment Eligibility Verification)
• Federal W-4 and Vermont W-4 tax withholding forms
• Authorization for mandatory background checks
• Direct deposit setup (optional but recommended)

ARIS runs the required background checks — including the Vermont Adult Abuse Registry and criminal records — before activating payroll. No caregiver can be paid until they clear the screening process.

Step 3: Ongoing Operations

Once enrolled, the workflow is straightforward:

1. Your caregiver works the scheduled hours
2. They complete a bi-weekly timesheet documenting hours, tasks, and dates
3. You (the employer) review and approve the timesheet
4. ARIS processes payment, withholds taxes, and deposits the caregiver's net pay

ARIS does not manage scheduling, assign caregivers, or resolve disputes. Those are your responsibilities as the employer. If a caregiver doesn't show up, you find coverage. If you need to terminate someone, you handle the conversation and notify ARIS to stop payroll.

Who You Can Hire Through ARIS

The consumer-directed model offers flexibility in who you hire:

• Adult children — yes, under both CFC and ASP
• Grandchildren, siblings, friends, neighbors — yes
• Professional caregivers — yes, including people who also work for agencies
• Spouses — restricted under CFC (requires DAIL authorization proving no other caregivers are available); prohibited entirely under ASP
• Legal guardians — prohibited under ASP and Moderate Needs flexible funding

The Flexible Choices Budget

If your parent is enrolled in CFC's Flexible Choices track, their authorized care hours are converted into an annual cash allowance based on their ILA score and the state's base rate. The case manager helps allocate this budget across categories:

• Caregiver wages (the primary expense)
• Home modifications (capped at $777/year)
• Assistive devices and adaptive equipment
• Incidental purchases ($50 bi-weekly cash allowance for small items)

Unspent budget can carry over up to $500 into the next fiscal year. Anything beyond $500 is swept back to the state's Medicaid fund.

Common Issues

Timesheet delays — late timesheets delay payment. ARIS processes on a fixed bi-weekly cycle, and timesheets submitted after the deadline roll to the next pay period. Build the submission habit early.

Caregiver turnover — when a caregiver leaves and you hire a replacement, the new hire must complete the full Employee Hiring Packet and clear background checks before ARIS activates their payroll. Plan for a gap of one to two weeks.

Tax questions — caregivers sometimes ask whether they're "employees or contractors." Under the ARIS model, they are W-2 employees. ARIS handles all employer-side obligations. The caregiver receives a W-2, not a 1099.

Our Vermont Home Care Navigator walks through the full ARIS enrollment process step by step, including completed sample forms, the background check sequence, and the budget worksheet that maps your parent's authorized hours to their annual allowance.

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