Learning Center

Back

The Cost of Family Caregiving

There are around 41 million family caregivers in the United States providing an estimated 34 billion hours of care to adults with limitations in daily activities. The estimated annual value of this unpaid work is $470 billion, more than all out-of-pocket spending on U.S. health care.1

As staggering as this figure may be, it is only part of the cost of caregiving. Many caregivers have to reduce hours at their regular jobs or quit the workforce entirely. The estimated value of these lost earnings is $67 billion.2 More than three out of four caregivers incur out-of-pocket costs (see chart). And then there are the physical and emotional costs that cannot be quantified.

Caregivers spend nearly $7K a year. 30% use personal savings. 16% reduce retirement savings. 11% use retirement savings.

If you are a family caregiver, or know someone who is, here are some ideas that may help.

Preserve your own assets. Although it’s noble to help an aging parent or other relative financially, be realistic about your own present and future needs. It might make more sense to spend down an older person’s assets, which could reduce the taxable estate and/or qualify him or her for long-term care benefits under Medicaid.

Take advantage of available benefits. Make sure the person you are caring for has all the benefits to which he or she is entitled. The U.S. Administration on Aging Eldercare Locator (eldercare.acl.gov) and the Benefits CheckUp website from the National Council on Aging (benefitscheckup.org) are helpful places to start.

Also take advantage of benefits offered by your employer. Many companies include family care in their sick-leave policies, and you may be eligible for up to 12 weeks of unpaid leave under the Family and Medical Leave Act. You might want to discuss your situation with your supervisor and human resources department.

Educate yourself. Unlike professional caregivers, family caregivers are typically thrown into a complex role with no training. Make sure you fully understand your loved one’s condition, medications, and appropriate methods of care. Ensure that you are authorized to speak to the patient’s physician(s). Don’t hesitate to call with questions, and keep a running list of issues for the next office visit.

Take care of yourself. Caregiving can take a physical and mental toll on family caregivers, who are especially vulnerable to back conditions, exhaustion, depression, and loneliness. Take regular breaks to rest or enjoy a favorite activity. Ask for help from other family members and friends. Consider support groups. Don’t be afraid to seek professional help for yourself.

More information on family caregiving is available from the Family Caregiver Alliance (caregiver.org), the Caregiver Action Network (caregiveraction.org), the National Institute on Aging (nia.nih.gov), and AARP Family Caregiving (aarp.org/caregiving).

 

Information provided has been prepared from Broadridge Advisor Solutions sources and data we believe to be accurate, but we make no representation as to its accuracy or completeness. Data and information is provided for informational purposes only, and is not intended for solicitation or trading purposes. Broadridge Advisor Solutions is not an affiliate of AXA Advisors, LLC. Please consult your tax and legal advisors regarding your individual situation. Neither AXA Advisors nor any of the data provided by AXA Advisors or its content providers, such as Broadridge Advisor Solutions, shall be liable for any errors or delays in the content, or for the actions taken in reliance therein. By accessing the AXA Advisors website, a user agrees to abide by the terms and conditions of the site including not redistributing the information found therein.

Securities offered through AXA Advisors, LLC (NY, NY 212-314-4600), member FINRA, SIPC. Annuity and insurance products offered through AXA Network, LLC and its subsidiaries.

Equitable Advisors is the brand name of AXA Advisors, LLC (Member FINRA, SIPC)

Jerri W Batts has earned the Retirement Planning Specialist (RPS) title. The Retirement Planning Specialist title is awarded by Equitable Advisors, based upon the Financial Professional's (FP) receipt of a Certificate in Retirement Planning from the Wharton School, University of Pennsylvania. In a collaboration between the Wharton School and Equitable Advisors' affiliated life insurance carrier, coursework for the certificate was developed exclusively for Equitable Advisors FPs, and the title may be used only by FPs who have completed the required coursework and maintain the title through ongoing continuing education requirements. To verify that an FP has earned and holds the title in good standing, contact us at atretirement@equitable.com. Complaints about an Equitable Advisors FP should be directed to customer.relations@equitable.com. Equitable Advisors is the brand name of AXA Advisors, LLC.

Securities offered through AXA Advisors, LLC (212-314-4600), member FINRA/SIPC. Investment advisory products and services offered through AXA Advisors, LLC, an investment advisor registered with the SEC. Annuity and insurance products offered through AXA Network, LLC and its insurance agency subsidiaries. AXA Network, LLC does business in California as AXA Network Insurance Agency of California, LLC and, in Utah, AXA Network Insurance Agency of Utah, LLC. AXA Advisors and its affiliates do not provide tax or legal advice. Individuals may transact business and/or respond to inquiries only in state(s) in which they are properly registered and/or licensed. The information in this web site is not investment or securities advice and does not constitute an offer.

Prestige Financial Group is not owned or operated by Equitable Advisors or Equitable Network. Equitable Advisors and Equitable Network are brand names for AXA Advisors, LLC and AXA Network, LLC, respectively.

Equitable Holdings, Inc. is a publicly traded corporation, and its subsidiaries are currently using trademarks including the "AXA" name, AXA logo and associated trademarks of AXA SA under license.

Link to equitable.com

Privacy Policy

Check the background of this financial professional on FINRA's BrokerCheck
Check the background of this financial professional on FINRA's BrokerCheck