Americans caring for an aging parent, spouse or other adult now spend an average of $11,508 a year of their own money doing it, according to a study released this week by AARP1. That is up from $7,242 in the group's 2021 survey, an increase of 59 percent.
The costs equal about 31 percent of caregivers' household income on average. For households earning under $40,000, the share rose to 76 percent.
Most of the money goes to basics rather than medical bills. Housing and household expenses such as rent, mortgage payments and food made up the largest share, averaging $4,797 a year, AARP reported2. Household and medical costs together accounted for 71 percent of spending.
The survey also found caregivers absorbing the costs in ways that affect their own futures, including cutting back on retirement contributions, dipping into savings and taking out loans. Spending was highest in the Northeast and mid-Atlantic, where caregivers in states such as New York, New Jersey and Pennsylvania averaged $15,845 a year, according to Stateline3.
About 63 million Americans provide ongoing care to a family member or friend. AARP is pressing for refundable tax credits, paid family leave and wider options to pay family caregivers.
Rhode Island is among the states with a paid family leave program, Temporary Caregiver Insurance, which covers time off to care for a seriously ill family member. Caregivers can also contact the state's Office of Healthy Aging for information on respite and support programs.
The toll is not only financial. Caregiving is linked with isolation and poor sleep, two risks we covered in our story on loneliness as a health metric.
