Could financial relief for family caregivers finally be on the way?

Caregivers often reach into their own wallets to make sure loved ones can hire home health aides for support, to pay for safety features like grab bars or for transportation to medical

appointments. According to AARP research, eight in 10 caregivers pay for routine expenses for loved ones, on average shelling out more than $7,000 a year in out-of-pocket expenses. But a

piece of legislation could ease that challenge with a federal tax credit of up to $5,000 a year to help eligible working family caregivers defray the costs of caring for a spouse or other

loved one with long-term needs. AARP commends Congress for reintroducing the Credit for Caregiving Act on March 11, legislation that would offset some expenses, such as home care aides,

adult day care, home modifications and respite care. The proposal has bipartisan support in both the House and Senate. “America’s family caregivers put family first, helping their parents,

spouses and others stay at home,” said Nancy LeaMond, AARP Executive Vice President and Chief Advocacy & Engagement Officer. “They spend thousands of dollars every year on this care,

while juggling work and family responsibilities. We urge Congress to put money back into the pockets of hardworking family caregivers by passing the Credit for Caring tax credit.” For

Barbara Tarallo, 62, the Credit for Caring Act would have a real-world impact. In 2010, Tarallo’s husband, Tom, now 62, suffered a traumatic brain injury in a motor vehicle accident that

left him in a wheelchair and unable to care for himself. Tarallo, a marketing and events manager for a software company, works from home in Pelham, New Hampshire, so she can more easily care

for her husband. A part-time home health aide comes two hours a day, three days a week, but Tarallo often pauses her work to help the aide transfer Tom to his shower chair, and she had to

purchase a sit-to-stand lift to keep him from falling. The Credit for Caring Act, “if passed, would help toward the cost of caring for Tom,” says Tarallo, who spends $1,500 a month, on

average, paying for Tom’s aide, adult briefs, medication and medical appointments, among other things. “This doesn’t include what I’ve had to pay for equipment to care for him or the cost of

changes to our home to be able to care for him. The tax credits would help defray some of these costs.” Tarallo says that if she were unemployed, her husband could qualify for Medicaid,

which could cover some adult day care and other benefits. But Tarallo doesn’t know how they would get by without her income. PAYING FOR A LOVED ONE’S CARE There are more than 48 million

unpaid caregivers in the U.S., and they routinely cut back on their own health care or dip into their savings each year to help family members with heath issues. These caregivers spend an

average of $7,200 annually on caring for loved ones, or $11,500 if they’re caring for a veteran, according to AARP research.