Unpaid Family Caregiving Is Worth a Six-Figure Salary

As the population ages, the number of people affected by Alzheimer’s disease and other forms of dementia continues to rise. In turn, families increasingly find themselves providing unpaid care to loved ones with cognitive impairments. This caregiving role, though essential, comes with hidden personal, financial, and societal costs that can be substantial. In fact, a new study reveals that family caregivers of loved ones with dementia, if they were paid for their services, would be making six figures.

The Scope of Unpaid Family Caregiving

Nearly 7 million Americans aged 65 and older are living with Alzheimer’s, a figure projected to reach nearly 14 million by 2060 if trends continue. Many families shoulder the responsibility of care, as residential facilities and formal caregiving options can be financially prohibitive. In 2023, it was estimated that around 11 million Americans were providing unpaid care for family members with dementia, contributing an estimated 18.4 billion hours of care annually. The estimated value of this unpaid care is $346.6 billion dollars.

The Financial Costs of Dementia Care

Unpaid caregivers often face financial challenges as they balance caregiving responsibilities with their own employment and personal financial stability. Some key financial costs include:

• Lost Income and Job Disruption: Many caregivers reduce their work hours, take leaves of absence, or even quit their jobs to care for loved ones. This reduction in income can be significant, especially for those in their prime earning years. Caregivers also lose out on career advancement opportunities, retirement benefits, and Social Security contributions, which can have long-term implications for their financial well-being.
• Out-of-Pocket Expenses: Caregivers frequently cover out-of-pocket costs associated with their loved one’s care. These expenses include home modifications, transportation, medical supplies, and other caregiving necessities.
• Health Care Costs: Caring for a loved one with dementia can take a toll on the caregiver’s own health and quality of life. These health issues can require costly medical treatments and medications. 

How Much Would a Family Caregiver Make?

What if family and friend caregivers were paid for the caregiving services they provide to their loved ones with dementia? According to a recent study conducted by Salary.com and Otsuka America Pharmaceutical, Inc., a caregiver would earn a six-figure salary for the daily help they provide. In fact, the approximate salary would be $114,000, on average.

Getting Support and Planning Ahead

Unpaid caregiving for older adults with Alzheimer’s and other forms of dementia is a deeply meaningful yet challenging responsibility. Thankfully, there are resources for these caregivers.

• Support Groups. Many organizations offer support groups where caregivers can connect with others facing similar challenges. These groups provide a safe space to share experiences, gain emotional support, and learn coping strategies.
• Educational Programs. Workshops and seminars are often available to educate caregivers about dementia, its progression, and effective caregiving techniques.
• Respite Care Services. Caregiving can be physically and emotionally exhausting. Respite care services offer temporary relief by providing professional caregivers to take over duties for a short period, allowing family caregivers time to rest and recharge.
• Online Resources. Numerous websites and online forms provide valuable information, tips, and community support.
• Financial Assistance Programs. Some organizations offer financial assistance or guidance on navigating insurance and government benefits. Understanding available resources can help alleviate some of the financial burdens associated with caregiving.
• Home Health Care Services. For families needing additional help, home health care services can provide skilled nursing, therapy, and personal care.
• Legal and Financial Planning Resources. Caregivers may benefit from consulting with professionals who specialize in elder law and financial planning.

By utilizing these resources, family caregivers can find the support they need to manage their responsibilities more effectively, ensuring both their well-being and that of their loved ones.

If you would like to speak with an experienced elder law attorney regarding your situation or have questions about something you have read, please do not hesitate to contact our office at 1 (800) 680-1717. We look forward to the opportunity to work with you.

Disclaimer: The information provided above is for general informational purposes only and is not legal advice.