News

Endorsement Letter for Credit for Caring Act

January 7, 2025

Dear Congress,

We, the undersigned organizations, urge you to enact financial relief for family caregivers by including the bipartisan, bicameral Credit for Caring Act (S. 3702/H.R. 7165 in the 118th Congress) in any tax legislation you advance in the 119th Congress. This legislation would create a new, non-refundable federal tax credit for eligible working family caregivers to help address the financial challenges of caregiving.

Family caregivers are the backbone of services and supports in this country. They help make it possible for older adults, people with disabilities, and veterans to live independently in their homes and communities. The physical, emotional, and financial challenges they face in their caregiving roles cannot be overstated. Family caregivers are of all ages, races, and ethnicities and cut across all segments of our population. This is an ageless and nonpartisan issue.

Family caregivers provide about $600 billion annually in unpaid labor to their loved ones. They face out-of-pocket expenses to assist their loved ones as well as potential income and retirement savings foregone. An AARP report found that family caregivers spend, on average, 26 percent of their income on caregiving expenses or over $7,200 annually. Their assistance helps save taxpayers billions of dollars by helping to delay or prevent expensive nursing home care and unnecessary hospital stays. Family and others who provide care for veterans spend on average $11,500 of their personal income on out-of-pocket costs related to caregiving each year.

The Credit for Caring Act would create a new, non-refundable federal tax credit of up to $5,000 for eligible working family caregivers to help address 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 requirements. 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.

Family caregivers need support as they take on the costs and responsibilities associated with caregiving. We look forward to working with you to enact the Credit for Caring Act. If you have any questions, please contact Rhonda Richards with AARP at rrichards@aarp.org.

Sincerely,

AARP

100 Black Men of America, Inc.

Aging Life Care Association®

Alliance for Aging Research

ALS Association

Alzheimer's Association

Alzheimer's Foundation of America

Alzheimer's Impact Movement (AIM)

1American Association on Health and Disability

American Cancer Society Cancer Action Network

American Geriatrics Society

American Heart Association

American Parkinson Disease Association

American Psychological Association Services

Angelman Syndrome Foundation

Asian Counseling and Referral Service

Association of Asian Pacific Community Health Organizations (AAPCHO)

ASXL Rare Research Endowment Foundation

Autism Society of America

Autism Speaks

Caregiver Action Network

Catholic Health Association of the United States

Child Neurology Foundation

City of Hope

Coalition to Transform Advanced Care (C-TAC)

Critical Labor Coalition

CureLGMD2i Foundation

Davis Phinney Foundation for Parkinson’s

Deaf Seniors of America (DSA)

Elder Justice Coalition

Elizabeth Dole Foundation

Family Caregiver Alliance, National Center on Caregiving

Fight Colorectal Cancer

Foundation for Angelman Syndrome Therapeutics (FAST)

Foundation to Eradicate Duchenne

Gerontological Society of America

Grayce

Greater Akron Canton Association of Black Social Workers

Hand in Hand: The Domestic Employers Network

Healthcare Leadership Council

Home Care Association of America

Huntington’s Disease Society of America

International Association for Indigenous Aging

Japanese American Citizens League

Lakeshore Foundation

LeadingAge

LGMD2D Foundation

Little Tokyo Service Center

Lymphoma Research Foundation

Medicare Rights Center

Mom’s Hierarchy of Needs

2myFloc

National Academy of Elder Law Attorneys (NAELA)

National Adult Day Services Association

National Adult Protective Services Association

National Alliance for Care at Home

National Alliance for Caregiving

National Asian Pacific Islander American Chamber of Commerce and

Entrepreneurship (National ACE)

National Association for the Self-Employed

National Association of Black Social Workers

National Association of Nurse Practitioners in Women's Health

National Association of Nutrition and Aging Services Programs (NANASP)

National Association of Social Workers (NASW)

National Association of Women Business Owners (NAWBO)

National Black Justice Collective

National Coalition on Black Civic Participation

National Consumer Voice for Quality Long-Term Care

National Council on Aging (NCOA)

National Disability Rights Network (NDRN)

National Federation of Filipino American Associations (NaFFAA)

National Fragile X Foundation

National Health Council

National Multiple Sclerosis Society

National PACE Association

National Partnership for Healthcare and Hospice Innovation

National Patient Advocate Foundation

National Respite Coalition

National Spine Health Foundation

National Council of Negro Women (NCNW)

New Disabled South

NMDP (formerly National Marrow Donor Program)

OCA - Asian Pacific American Advocates

Paralyzed Veterans of America

Rosalynn Carter Institute for Caregivers

Small Business For America's Future

Southeast Asia Resource Action Center (SEARAC)

SPM Disability Justice Fund

The Arc of the United States

The Association for Frontotemporal Degeneration

The ERISA Industry Committee

The Michael J. Fox Foundation for Parkinson’s Research

The Reunion Project

The Speak Foundation

The United Methodist Church – General Board of Church and Society

3Third Way

Triage Cancer

USAging

Village to Village Network, Inc.

Well Spouse Association

Women Impacting Public Policy

Women's Institute for a Secure Retirement/WISER