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Congress considers tax credit for family caregivers

Aging organizations issue report 63 million people are caring for a family member

Updated:

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Mark Huffman
Reporter

Mark Huffman has covered consumer issues since 2004, with a special focus on protecting and empowering older adults. A former news correspondent for the Associated Press Radio Network, Westwood One, and ConsumerAffairs, Mark brings decades of journalistic experience to RetirementLiving.com. He is passionate about giving consumers a voice and helping them make informed decisions. Mark has also created educational content, including Senior Scam Alert, a video resource designed to help seniors recognize and avoid fraud. He holds a B.A. from the University of Kentucky and lives with his family in Richmond, Virginia.
Homewatch CareGivers of Grand Rapids

Key Insights

  • Nearly one in four U.S. adults—63 million people—are now family caregivers, a 46% increase since 2015.
  • AARP and NAC call for bold policy reforms, including tax credits and paid leave, to support caregivers.
  • The 2025 report highlights deep financial, emotional, and health burdens borne by unpaid caregivers.

Congress has reintroduced the Credit for Caring Act, which would establish a nonrefundable federal tax credit of up to $5,000 per year for eligible working family caregivers. It covers caregiving expenses like home care aides, adult day care, home modifications, respite care, and transportation.

The bill, which has drawn bipartisan support, would meet what its sponsors say is a growing need. A new report from AARP and the National Alliance for Caregiving (NAC) shows the extent to which family members are employed in the workplace while providing care for someone at home. 

The report shows that family caregiving in the United States has reached historic levels, with 63 million Americans, nearly one-quarter of the adult population, providing unpaid care to loved ones in the past year. 

That’s a dramatic 20 million-person increase since 2015, highlighting a rapidly growing and largely unsupported population of caregivers.

According to the report – Caregiving in the U.S. 2025 – of the 63 million caregivers, 59 million were providing care for adults over 18, many without formal training or pay. AARP CEO Dr. Myechia Minter-Jordan called caregivers “a backbone of our health and long-term care systems,” noting that they often sacrifice their own well-being and financial security to provide complex care.

“These are ordinary people doing extraordinary work with little recognition,” said Jason Resendez, NAC’s CEO. “When 1 in 4 adults are providing complex care and over 13 million can’t prioritize their own health, we can’t keep treating caregiving as invisible labor.”

An alarming trend

The report outlines striking trends about the lives and struggles of America’s caregivers:

  • Nearly 25% of caregivers provide over 40 hours of care weekly; a third have been doing so for five years or more.
  • One in three caregivers is also raising children under 18. Among caregivers under 50, this jumps to 47%. Latino and Black communities report the highest dual-responsibility burdens.
  • Nearly half of all caregivers experienced severe financial impacts, including debt, loss of savings, or food insecurity. The burden is most acute among young, low-income, Black, Latino, and LGBTQ+ caregivers.
  • Six in 10 caregivers are employed. Among them, half report workplace disruptions. While more employers now offer caregiving benefits, salaried workers are far more likely to access them.

AARP and NAC are urging Congress to approve the measure. The organizations are also calling for expanded paid leave, improved access to respite care, and national recognition of caregivers’ vital role.