People will continue to age. We are living longer and the longer we live the greater the chance that we will need long-term care. The government projections are that by the time we reach age 65 that 70% of us will experience a long-term care event.
Today, as in years past, the majority of care is provided by family members, usually wives, daughters or daughters-in-law. The impact on future financial security of family caregivers is significant.
A recent study reported the cost of caregiving for women was $384,000 and for men $284,000. These costs are way beyond out-of-pocket expenses. They include lost income from resignations, reduced work hours, retirement savings and Social Security benefits.
The commitment is large – 77 hours per month
According to the Center for Retirement Research at Boston College, when adult children provide care they devote an average of 77 hours per month to caregiving or almost two weeks of full-time work!
In his article, “What The New RAISE Family Caregivers Act Will Do,” Richard Eisenberg explains what the Raise Family Caregivers Act may mean for family caregivers who, according to the SCAN Foundation, provided the equivalent of $450 billion of the $725 billion spent on long-term care in 2014 in the U.S.
RAISE stands for Recognize, Assist, Include, Support and Engage. This Act was signed into law by President Trump on January 22, 2018 after it passed both the Senate and House of Representatives with overwhelming support.