IDOA cost report · Illinois home care
IDOA Cost Report Preparation for Illinois Home Care Agencies
Illinois in-home service providers in the Department on Aging's Community Care Program file an annual cost report within six months after the end of the reporting period (89 Ill. Adm. Code 240.2020). Soriaga & Associates, LLC prepares IDOA cost reports, and we quote the fee in writing on your free 20-minute call.
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The report
What is an IDOA cost report?
The IDOA cost report is the annual report that in-home service provider agencies in the Illinois Department on Aging's Community Care Program submit under 89 Ill. Adm. Code 240.2020. The rule calls it the Direct Service Worker Cost Certification, and providers use it together with the Detailed Cost Certification form.
It is based on your actual documented expenditures, and it may be prepared as part of your annual audit. The Community Care Program, established in 1979, also includes Adult Day Service, Emergency Home Response Service, and Automated Medication Dispenser service. This page covers the cost report for in-home service providers.
When is the IDOA cost report due?
Annually, within six months after the end of the reporting period. The reporting period may be the calendar year or your fiscal year. Once you elect one, you can change it only with the Department's written approval.
We confirm the submission method with IDOA or your contract manager before we file, so you never have to guess where the report goes.
Do I need a CPA for the IDOA cost report?
A CPA is built into the Illinois process. In-home service providers must file an annual audit report prepared by an independent licensed CPA with the Department within six months after the close of the provider's fiscal year (89 Ill. Adm. Code 240.1520).
That audit must include an independent CPA's opinion. The opinion may be limited to assurances that you prepared the cost report using acceptable accounting methods to allocate cost, and that the cost report is supported by your accounting records (240.1525).
The cost report itself is attested by an authorized representative of your agency, and the Department may require you to engage an independent CPA firm, at your expense, to verify the data if it has evidence that the data is inaccurate, incomplete, or fraudulent (240.2020). We prepare the cost report from your accounting records. Ask us on your free call how it fits with your annual audit and your independent auditor.
What is the 77% direct service worker requirement?
The cost report must show that you spent at least 77% of the total revenues due from the Department on direct service worker costs. The other 23% is available for administrative and program support. Revenue excludes any enhanced health-insurance rate (89 Ill. Adm. Code 240.2020 and 240.2040).
If a provider falls short, the Department can require an approved corrective action plan, including payments to current direct service workers. Failure to submit or follow the plan can lead to closure of intake or contract termination. The rule is 77/23, not 80/20.
What are the current in-home service rate and wage floor?
Illinois law requires in-home service providers to certify that they remain in compliance with the mandated direct service worker wage. The statute sets the homemaker rate at $30.80 per hour and the wage at $18.75 per hour from January 1, 2026, subject to federal approval (20 ILCS 105/4.02). IDOA's current rates page lists the In-Home Service rate as $30.80 per hour statewide, with the fee schedule effective January 1, 2026.
What do I need to give you?
The report is based on actual documented expenditures, so we work from your accounting records. We confirm the exact list on your free call. Typically we ask for:
- Your year-end financial statements and trial balance
- Payroll records showing direct service worker wages and benefits
- Records of revenue due from the Department
- Your prior IDOA cost report and any Department correspondence
How much does an IDOA cost report cost?
IDOA cost reports are quoted on your free 20-minute call, and you receive the quote in writing before we start. Medicare cost reports have published flat fees. See every fee on our pricing page.
How is an IDOA cost report different from a Medicare cost report?
They are different reports under different rules. The IDOA cost report is filed under Illinois rules within six months after the reporting period and includes the 77% direct service worker test. A Medicare cost report is filed with your Medicare Administrative Contractor on a CMS form, due on or before the last day of the fifth month after the period ends. Read about the home health cost report and the hospice cost report, and the overview of Medicare cost report filing.
What happens next
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Free 20-minute call
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- 02
Written fee quote
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- 03
We handle it
Your CPA team takes it from there and keeps you posted until it is filed.
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What our clients say
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“Soriaga & Associates LLC has expertly handled our Medicare Cost Report preparation and filing for several years. They are reliable professionals ensuring compliance and efficiency in filling out cost reports. They respond quickly to emails and provide proactive support.”
FAQ
IDOA cost report FAQs
Still have questions? Ask them on a free 20-minute call.
What is an IDOA cost report?
It is the annual cost report that in-home service provider agencies in the Illinois Department on Aging's Community Care Program submit under 89 Ill. Adm. Code 240.2020. It is based on actual documented expenditures and uses the Direct Service Worker Cost Certification.
Who has to file an IDOA cost report?
In-home service provider agencies in the Community Care Program. Other Illinois programs have their own reports, so we confirm which ones apply to your agency on the free call.
When is the IDOA cost report due?
Annually, within six months after the end of the reporting period. The period may be the calendar year or your fiscal year, and you can change the basis only with the Department's written approval.
Do I need a CPA for the IDOA cost report?
Illinois requires in-home service providers to file an annual audit report prepared by an independent licensed CPA, with an opinion that may be limited to assurances about how the cost report was prepared and supported. The cost report itself is attested by an authorized representative of your agency.
What is the 77% rule?
The cost report must show that you spent at least 77% of the total revenues due from the Department on direct service worker costs. The other 23% is available for administrative and program support. It is 77/23, not 80/20.
What happens if my agency falls below 77%?
The Department can require an approved corrective action plan, including payments to current direct service workers. Failure to submit or follow the plan can lead to closure of intake or contract termination.
What is the current in-home service rate and wage?
Illinois law sets the homemaker rate at $30.80 per hour and the wage at $18.75 per hour from January 1, 2026, subject to federal approval. IDOA's current rates page lists the In-Home Service rate as $30.80 per hour statewide.
How much does an IDOA cost report cost?
IDOA cost reports are quoted on your free 20-minute call. You receive the quote in writing before we start.
Do you prepare Medicare cost reports too?
Yes. We prepare home health cost reports (CMS-1728-20) and hospice cost reports (CMS-1984-14) at flat fees. See our pricing page for the fees.
Do you prepare DHS and CILA cost reports?
Yes. We prepare cost reports for Illinois-funded programs including IDOA, DHS, and CILA. Ask about your situation on the free call.
What if a prior IDOA cost report had errors?
We assist agencies with amended filings and audit support. Amended and prior-year reports are quoted on your free 20-minute call.
How do I get a quote?
Book a free 20-minute call with Christian Soriaga, CPA. You tell us about your agency, and you receive a clear written fee quote after the call, with no obligation.
Sources
Illinois requirements change. These sources were checked on October 2, 2026, and you should confirm current requirements with the Illinois Department on Aging.
- 89 Ill. Adm. Code Part 240, Community Care Program: sections 240.1520, 240.1525, 240.2020, and 240.2040
- Illinois Department on Aging, Community Care Program: program overview
- Illinois Department on Aging, Community Care Program current rates: In-Home Service rate
- 20 ILCS 105/4.02, Illinois Act on the Aging: direct service worker wage certification and rates
Related pages: Medicare cost report filing · Home care accounting · Pricing · Medicaid cost reporting guide
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