Tax Relief for Caregivers

Helping Caregivers Helps Us

Looks like America is finally coming up to speed about the reality most family caregivers face.

Simply put, that reality has to do with the financial burden those caring and courageous individuals are carrying while they try to provide care to a loved one. Most of the time they aren’t paid and no one is reimbursing the out of pocket expenses they incur along the way.

It looks like this country is taking steps to rectify that. The Credit for Caring Act, recently introduced in Congress would provide a federal tax credit of up to $3,000 to family caregivers who assist aging or disabled relatives.

The amount is more than reasonable in my opinion. Especially when you consider what it would cost the government and taxpayers if family caregivers weren’t there to help. Some estimates suggest that it would cost on average $81,000 a year for a semi-private room for skilled nursing home care.

The cost – or rather the inability to afford the cost - is often why family members step up to the plate even if they are already holding down a job to pay their own bills. It’s also been noted that some family caregivers leave the workforce, sometimes relocating across the country, to take care of a loved one.

U.S. Representatives Tom Reed (R-NY) and Linda Sanchez (D-CA), introduced the measure that would offset the caregivers’ out-of-pocket expenses, such as home care, adult day care, child care and respite care.

No one can argue that this measure is good news but you can argue that $3,000 is just a drop in the bucket. But it’s a start and those of us who have been a family caregiver will take it.

I hope we don’t stop there, though. Too many caregivers have had to cut back to bare necessities to make sure their loved one has what is needed. And they do so at no cost to taxpayers. So let’s keep pushing the envelope to see what else we can do to take care of those who take care of aging and/or disabled adults.

To find out more about the Caregiving for Credit Act click here.