Cost of Caring for Elderly Parents Could Be Next Financial Crisis

A survey conducted by AgingCare.com found that although adult children are often responsible for paying for their elderly parent's care, the large majority of caregivers are vastly unprepared. The survey found:

  • 63% of caregivers have no plan as to how they will pay for their parent's care over the next five years.
  • 62% say the cost of caring for a parent has impacted their ability to plan for their own financial future.

"With an estimated 34 million Americans providing care for older family members, the survey's results indicate a financial crisis in the making," says Joe Buckheit, Publisher of AgingCare.com, a website and online forum for family caregivers.

"Medicare only covers long-term care for a short time, and only under strict rules. Medigap insurance helps, but does not cover all costs. The burden of paying for long-term care often rests with the family," Buckheit says. "The caregivers' lack of planning is impacting their own financial future."

Long-term care costs are not the only expenses caregivers bear. "Family members responsible for ailing loved ones provide not only hands-on care but often reach into their own pockets to pay for many daily expenses, including groceries, household goods, drugs, medical co-payments and transportation," says Buckheit. "Americans who are already strapped for cash by the rising price of gas and food are unable to afford these additional expenses." The survey found:

  • 34% spend $300 or more per month out of their own pocket for caregiving expenses.
  • 54% have sacrificed spending money on themselves to pay for care of their parents.

Work Issues

Making matters worse, caring for aging parents often impacts adult children at their workplace as well. The survey found:

  • 43% have had to take time off work due to caregiving responsibilities.
  • 48% say they are earning less money at work as a result of caregiving.
  • 25% have been fired or had to quit their job as a result of caregiving.

One survey respondent says, "I am unable to earn the income needed to continue caring for both my parents and my own family. I've not only given up my job, but my dreams, for now. It is very lonely and financially difficult. But I have to do what is right."

Physical and Emotional Toll

Despite potentially making less money and doling out more, more than half of the caregivers surveyed are spending what equates to a full-time work week – 40 hours or more – on caregiving duties, many in addition to their full-time careers outside the home:

  • 53% of caregivers provide care 40 or more hours per week.
  • 37% provide care more than 80 hours per week.
  • 21% say they never get a break from caregiving.
  • 36% get a break of 5 hours or less a week.

The survey indicates that today's caregivers face a triple financial threat: unplanned-for caregiving expenses, less money for their own needs and reduced time in the workplace.

 
10 people are discussing this article with 11 comments
Share
 
 






Free Helpful Guides

Veterans Benefits Guide
Find federal benefits available to your family.
Get your veterans guide ›
Home Care Guide
How to find, hire and manage home care.
Get the home care guide ›
Caregivers' Survival Guide
Everything you need to care
for an elderly family member.
Get the caregivers' guide ›
 
FIND HOUSING AND CARE




 
DOWNLOAD FREE RESOURCES
Veterans Benefits Guide
Find federal benefits available to your family.
Home Care Guide
How to find, hire and manage home care.
SIGN UP FOR OUR NEWSLETTER
Get helpful information and emotional
support to help you care for a parent
or a loved one. It's FREE!

©2016 AgingCare, LLC. All rights reserved.  About Us  |  Advertise with Us  |  Sitemap

 

The material of this web site is provided for informational purposes only. AgingCare.com does not provide medical advice, diagnosis or treatment;
or legal, financial or any other professional services advice. Use of this site is subject to our Terms of Use and Privacy Policy.