Tag Archives for age in place

It’s now time for Congress to give tax credits to America’s caregivers

Published in RINewsToday on February 24, 2025

Just a few days after the 119th Congress was sworn in on Friday, January 3rd, AARP, along with 94 organizations, sent a letter to Congress urging lawmakers to enact legislation to provide financial relief for America’s caregivers. This could be accomplished by including the bipartisan bicameral Credit for Caring Act of 2024 (S. 3702/H.R. 7165 introduced in the 118th Congress) in any tax legislation that is advanced during the new Congress, says the joint letter.    

S. 3702/H.R. 7165, introduced during the last session of Congress by Sen. Michael Bennett (D-Colorado) and House lawmakers Mike Carey (D-Ohio), would allow an eligible caregiver a tax credit of up to $5,000 for 30% of the cost of long-term care expenses that exceed $2,000 in a taxable year. The bills defined eligible caregiver as an individual who has earned income for the taxable year in excess of $7,500 and pays or incurs expenses for providing care to a spouse or other dependent relative with long-term care needs. 

The joint letter, dated Jan. 7, 2025, stressed that family caregivers make it possible for older adults, people with disabilities, and veterans, to live independently in their community and age in place at home.  It also cited an AARP study that found caregivers provided $600 billion annually in unpaid labor in 2021 to care for their loved ones. (This figure is based on about 38 million caregivers providing an average of 18 hours of care per week for a total of 36 billion hours of care, at an average value of $16.59 per hour). 

Caregivers take a hefty financial hit, too, having to cover out-of-pocket expenses associated with caregiving and losing income by cutting back on work hours or leaving the workforce entirely. When this occurs these individuals would see reduced Social Security and retirement savings by receiving reduced Social Security and other retirement benefits, noted the organizations in the correspondence. 

The joint letter also mentioned an AARP study that reported family caregivers spend on average, 26 percent of their income on caregiving expenses or over $7,200 annually. The uncompensated care saves taxes payers billions of dollars by delaying or even preventing admission to costly nursing home care and unnecessary hospital stays.  

The joint letter suggested that any tax legislation consider include a new, non-refundable tax credit of up to $ 5,000 for eligible working family caregivers would reduce the significant financial impact of caregiving.  Eligible caregivers caring for loved ones of all ages could receive the credit if the care recipient meets certain functional or cognitive limitations or other requires.  This tax credit would help working family caregivers regardless of whether they live with their loved one or if their loved one is a dependent. 

Overwhelmingly support for tax relief for caregivers 

A newly released AARP poll findings indicate that voters in competitive congressional districts want Congress to give financial relief to America’s family caregivers. The poll, conducted in late Jan. 2025, highlights a “clear, bipartisan mandate” say prominent pollsters from Fabrizio Ward and Impact Research. 

The bipartisan polling team conducted this survey of 3,000 registered voters nationally and 1,000 voters in the 28 most competitive House districts between January 27 and February 1, 2025. According to AARP, the districts chosen were the 15 Republican-held districts won by <5% of the vote in 2024, and the 13 Democratic-held districts that were also won by President Trump in 2024. The margin of sampling error for the national survey is ±1.8% and ±3.1% for the congressional districts survey.

The AARP poll findings reveal overwhelming voter support (84%) for Congress and the Trump Administration to act this Congress on a caregiver tax credit. Among various tax proposals currently being considered by Congress — including eliminating income taxes on Social Security, tips, and overtime pay—voters ranked passing a caregiver tax credit as their top priority. 

“America’s family caregivers put family first, helping their parents, spouses and others stay at home. They spend thousands of dollars every year on this care, while juggling work and family responsibilities,” said Nancy LeaMond, AARP Executive Vice President and Chief Advocacy & Engagement Officer in a statement released on Feb. 11, 2025 announcing the results of AARP’s poll. “Without them, millions of older Americans would be forced into costly nursing homes—many at taxpayer expense. As Congress debates tax policy, the message from voters is clear: lawmakers must prioritize financial relief for hardworking Americans who are caring for their aging family members. AARP urges Congress to put money back into the pockets of hardworking family caregivers by passing a tax credit,” she says.  

Bipartisan

The poll findings indicate that support for the caregiving tax credit spans party lines, with strong majorities of Republicans (84%), Independents (82%), and Democrats (87%) in favor.  And support for a caregiver tax credit (84%) outpaces support for continuing the 2017 tax cuts (51%).  

Seventy-six-percent of voters agree that “Before Congress extends any tax breaks for the wealthy and corporations, it should support working Americans with a tax credit to help cover the expenses of taking care of a loved one.”  

Family caregiving crosses party lines, with nearly two-thirds of voters (63%) serving as family caregivers at some point in their lives—many of whom struggle financially. 

Most voters (63%) say they are worried about their personal financial situation.  Family caregivers nationwide, many of whom face financial struggles, spend an average of $7,200 in out-of-pocket expenses each year—making it harder to afford essentials like groceries and bills.

“Voters over the age of 50 are a critical voting bloc that all candidates should compete for every election cycle,” adds Tony Fabrizio, partner at Fabrizio Ward. “Our poll found that Americans of all political stripes want leaders to support family caregivers. Candidates looking ahead to the 2026 midterms should pay attention to this issue if they want to win,” he said.

Could tax credits for caregivers become a reality?

Maybe.  During the 118th Congress, Republican and Democratic lawmakers came together to cosponsor legislation that called for federal tax credits for caregivers. S. 3702, with 11 Democrats, 3 Republicans and 3 Independents, was referred to the Senate Finance Committee.  Its companion measure in the lower chamber, H. R. 7165, with 81 cosponsors (72 Democrats and 9 Republicans), was referred to House Ways and Means Committee.  Both bipartisan bills never made it to mark up or even to the House floor for vote. 

Tax Notes reporter Alexander Rifaat, who covers the White House and Treasury, reported in a web article posted on Oct. 29, 2024 that Presidential Republican candidate Donald Trump supported tax relief for caregivers. Rifaat noted that during his 2024 presidential election, at a campaign event held at New York’s Madison Square Garden on Oct. 27, Trump called for a national tax credit for caregivers who are “never spoken of” and stay at home. 

At the campaign event,  Rifaat noted that Trump told the crowd:  “I will support a tax credit for family caregivers who take care of a parent or a loved one. And it’s about time they were recognized, right?” 

Now, as President Trump has an opportunity to keep this campaign promise by calling on the Republican-controlled Congress to work with Democratic lawmakers to give America’s caregivers financial relief, through the passage of a national tax credit legislation that will benefit them.  It’s time to work together and put caregivers before partisan politics.

For a copy of the National Legislative Priorities Survey, Feb. 2025, go to www.aarp.org/content/dam/aarp/research/topics/voter-opinion-research/politics/federal-tax-package-legislative-priorities.doi.10.26419-2fres.00921.001.pdf.

For a listing of organizations urging Congress in Jan. 7, 2025 correspondence to provide financial tax relief to caregivers, go to www.nase.org/sf-docs/default-source/advocacy-documents/financial-relief-for-family-caregivers-credit-for-caring-act-sign-on-letter-january-2025-(1).pdf?sfvrsn=e6b0e0f0_1

www.bls.gov/blog/2023/celebrating-national-family-caregivers-month-with-bls-data.html

To read AARP’s Research Insights into Caregiving, go to www.aarp.org/pri/topics/ltss/family-caregiving/aarp-research-insights-caregiving/.

Report on Falls, Injuries Released

PUblished in Woonsocket Call on October 20, 2019

Last Wednesday morning in Dirksen Senate Office Building 562, the U.S. Special Committee on Aging held a hearing to put a spotlight on the economic consequences on falls and to explore ways to prevent and reduce falls and related injuries. At the one hour and 55-minute hearing, titled “Falls Prevention: National, State, and Local Level Solutions to Better Support Seniors,” its annual report, Falls Prevention: Solutions to Better Support Seniors, was released.

According to the Senate Aging Committee, falls are the leading cause of both fatal and nonfatal injuries among older adults that incur $50 billion annually in total medical costs. That number is expected to double to $100 billion by 2030, and the majority of these costs are borne by Medicare and Medicaid.

“Falls are the leading cause of fatal and non-fatal injuries for older Americans, often leading to a downward spiral with serious consequences. In addition to the physical and emotional trauma of falls, the financial toll is staggering,” said Sen. Susan Collins (R-Maine), who chairs the Senate Aging Committee. “Now is the time, and now is our opportunity, to take action to prevent falls. Our bipartisan report includes key recommendations to take steps to reduce the risk of falls,” the Maine Senator noted in an Oct. 16 statement.

Pushing for Positive Change in Releasing Fall Report

“We must dispel our loved ones of the stigma associated with falling so that they can get the help they need to age in place – where they want to be – in their homes and communities,” said Sen. Robert P. Casey, Jr. (D-Pa.). “I am hopeful that our work over the past year will propel the research community to do more, get more dollars invested into supporting home modifications and encourage more older adults to be active,” said the Special Committee’s Ranking Member.

At the hearing, the Committee unveiled a comprehensive report that provides evidence-based recommendations on ways to reduce the risk of falling. The Committee received input from multiple federal agencies, including the Centers for Disease Control and Prevention, Centers for Medicare and Medicaid Services, and the Food and Drug Administration. In addition, approximately 200 respondents representing falls prevention advocates, hospitals, community organizations, home health agencies, and others shared their expertise on this issue.

The 34-page Aging Committee’s report made recommendations as how to raise awareness about falls-related risks, prevention and recovery at the national, state and local levels. It suggested ways of improving screening and referrals for those at risk of falling so that individuals receive the preventive care necessary to avoid a fall or recover after one. It noted ways of targeting modifiable risk factors, including increasing the availability of resources for home safety evaluations and modifications, so that older adults can remain in their homes and communities. Finally, it called for reducing polypharmacy so that health care providers and patients are aware of any potential side effects that could contribute to a fall.

Increasing Medicare Funding for Bone Density Testing

In an opening statement, Collins noted that falls are often times attributed to uneven sidewalks or icy stairs, medications, medical reasons or muscle strength. But one key cause of falling is osteoporosis, which can be especially dangerous for people who are completely unaware that they suffer from low bone density, she says.

According to Collins, although Medicare covers bone density testing, reimbursement rates have been slashed by 70 percent since 2006, resulting in 2.3 million fewer women being tested. “As a result, it is estimated that more than 40,000 additional hip fractures occur each year, which results in nearly 10,000 additional deaths,” she said, noting legislation, Increasing Access to Osteoporosis Testing Beneficiaries Act that she has introduced with Sen. Ben Cardin,” to reverse these harmful reimbursement cuts.

Casey stated, “I am particularly interested in sharing this report with the relevant agencies and learning how the recommendations will be implemented. Not just put in a report. Implemented,” adds Casey.

Peggy Haynes, MPA, Senior Director, of Portland-based Healthy Aging, MaineHealth that offers A Matter of Balance, an evidence-based falls prevention program, came to the Senate hearing to share details about its impact. “The health care community has a critical role to play in fall prevention – beginning with screening for falls, assessing fall risk factors, reviewing medications and referring to both medical and community-based fall prevention interventions. Our health system is focused on preventing falls in every care setting,” says Haynes.

“The need for a range of community-based options led MaineHealth to be a founding member of the Evidence Based Leadership Collaborative, promoting the increased delivery of multiple evidence-based programs that improve the health and well-being of diverse populations,” adds Haynes.

Haynes noted that older participants attend eight two-hour sessions to help them reduce their fear of falling, assisting them to set realistic goals for increasing their activity and changing their home environment to reduce fall risk factors. A Matter of Balance is offered in 46 states reaching nearly 100,000 seniors.

Virginia Demby, an 84-year-old visually-impaired retired nurse who is an advocate for Community and Older Adults, in Chester, Pennsylvania, came to the Senate hearing to support the importance of fall prevention programs. Despite living with low vision, Demby remains physically active by participating in exercises classes for older adults at the Center for the Blind and Visually Impaired in Chester. She is an advocate for older adults and now helps the local senior center wellness manager recruit more seniors to take falls prevention classes and find new places to offer the classes.

Kathleen A. Cameron, MPH, Senior Director, Center for Healthy Aging, of the Arlington, Virginia-based National Council on Aging, discussed the work of the National Falls Prevention Resource Center, which helps to support evidence-based falls prevention programs across the nation and highlighted policy solutions to reduce falls risk.

Finally, Elizabeth Thompson, chief executive officer, Arlington, Virginia-based National Osteoporosis Foundation, testified that bone loss and osteoporosis are fundamental underlying contributors to the worst consequences of falls among older Americans: broken and fractured bones. Osteoporotic fractures are responsible for more hospitalizations than heart attacks, strokes and breast cancer combined, she noted.

For details of the Senate Aging Committee report, go to http://www.aging.senate.gov/imo/media/doc/SCA_Falls_Report_2019.pdf.