AARP Colorado Thanks Senator Bennet for Championing Financial Relief for Family Caregivers in the Form of Reintroduced Legislation -- the Credit for Caring Act

Denver, CO — AARP Colorado commends the reintroduction of the Credit for Caring Act, legislation that would provide financial relief to eligible working family caregivers. The bill, sponsored by Senator Michael Bennet, offers up to a $5,000 nonrefundable federal tax credit to help offset caregiving expenses, addressing the significant personal and financial sacrifices caregivers make to support their loved ones. On average, family caregivers spend over $7,200 annually—26% of their income—on out-of-pocket expenses.

“Family caregivers play an essential role in supporting their loved ones and keeping our communities strong, yet they often face steep personal and financial challenges,” said Sara Schueneman, AARP Colorado state director. “The Credit for Caring Act represents an investment in our families, our economy, and our values. We thank Senator Bennet for sponsoring the bill and we urge Congress to pass this legislation to ease the challenge on family caregivers and help them continue their vital work.”

More than 600,000 Coloradans are caregivers who dedicate themselves to caring for aging parents, spouses, and others in need, enabling them to remain in their homes and communities. However, caregiving often comes at a steep personal cost. Sixty-one percent of family caregivers nationwide work either full- or part-time, but many have had to cut back on work or leave their jobs, sacrificing income, retirement savings, and financial security.

The Credit for Caring Act addresses these challenges by providing a nonrefundable federal tax credit of up to $5,000 for specific caregiving-related expenses, such as home care aides, adult day services, home modifications, and respite care.

"I quit my job to care for my mother and lost all my income. You are doing everything [to care] for your family member with no time for self-care,” Pamela, Colorado.

Caregivers provide immense economic value by delaying or avoiding costly institutional care. Collectively in Colorado, they contribute an estimated 560,000,000 hours of unpaid care annually. An AARP analysis estimates that if caregivers aged 50 and older received better workplace support, the U.S. GDP could grow by an additional $1.7 trillion in 2030.