Frequently Asked Caregiver Finance Questions

About Tori Thurmond

Tori Thurmond combines her creative writing background with her marketing experience in her role as the Content Specialist at Brookdale. When she's not writing, she's probably spending time with her two cats or knitting.

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Managing your own finances while also taking care of a loved one and helping them manage their own expenses can be overwhelming. With no guide book on how best to manage your loved one’s care and finances, knowing what’s best isn’t always easy, so here are a few financial questions to consider as a caregiver:

How Much Does It Cost to be a Caregiver?

As of 2023, caregivers spend an average of 25 hours a week providing care to their loved one, and 25% of caregivers dedicate over 40 hours of care a week according to a 2023 National Library of Medicine article. Caregiving isn’t always a short-term job, either—the typical caregiver provides care for an average of four years.

Many caregivers are often shocked at the stunning cost of caring for someone. AARP reports the care provided by millions of unpaid caregivers across the country was valued at $600 billion in 2021. In addition to the unpaid work of caregivers across the nation, AARP tracked the amount of their own money caregivers spend in a year—the average totaled to $7,242.

Can I Get Paid to Take Care of a Family Member?

Depending on your loved one’s needs, your caregiving responsibilities may interfere with other jobs or responsibilities. Some caregivers even need to quit their jobs to give more time to a loved one. To help with this, many states offer some form of assistance for family caregivers. Medicaid is the most common way to receive assistance. Depending on your state and your eligibility, there are several Medicaid programs to look into.

Should I Create a Joint Bank Account With My Loved One?

Keeping up with your loved one’s bills and other needs can be a challenge if you don’t have access to their money to cover costs for their care. An option to help streamline the monetary aspect of your caregiving responsibilities is to consider a joint bank account. Chase® states, “Joint accounts are useful for caregivers who manage the finances of dependents, such as elderly parents of individuals with disabilities. Sharing an account can help all parties ensure that bills and other financial obligations are met.” Having a joint bank account may not be right for every caregiver and loved one, but you can set up a meeting with your banker to discuss the pros and cons of this type of account so you’re making an informed decision.

Do At-Home Caregiving Services Save Money?

Caring for your loved one by yourself can feel overwhelming when you’re balancing their care with your other responsibilities. If you think you may need some additional help but moving your loved one into senior living feels like too big of a step or doesn’t align with your financial situation, look into at-home senior care options. For many, home care services can be a cost effective alternative to community-based care options. Some at-home care options even allow you to pick and choose the services you or your loved one needs so you’re not paying for services you don’t need. Just make sure you choose an at-home care service that will work closely with you and your family to create a care plan that meets your needs and your budget.

How Do I Become a Financial Caregiver?

Speaking about finances can feel uncomfortable at first, but when you’re responsible for someone’s care, being open and honest about financial topics can be important. CaringInfo.org has a few helpful tips on how to start managing someone’s finances, including making a list of all expenses, documenting all income, creating a budget, getting access to accounts and keeping records. While there’s no official paperwork or procedures to complete when becoming someone’s financial caregiver, you could consider becoming the loved one’s financial power of attorney if that’s right for your situation.

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