Many adult children find it financially impossible to leave their current employer and give up a much needed salary to take care of an aging adult. Caregivers are the most effective and efficient when they arm themselves with as much information as possible about their aging loved one’s current situation- both financial and medical.
Once armed with the right information, most caregivers who work find themselves in a position where they may have to occasionally take off from work to assist their aging loved one. Some caregivers will have to leave the workplace completely in order to help a senior through a crisis.
Employers are aware that caring for an aging parent is overwhelming both emotionally and physically. Today, about one-quarter of U.S. companies offer basic elder care benefits -- mainly referrals to help find caregivers and legal services.
Workers who care for elderly relatives cost U.S. businesses about $34 billion annually in absenteeism, replacement costs and lost productivity, according to a survey by the National Alliance for Caregiving and the MetLife Foundation. The loss amounts to $2,110 for each of the estimated 15.9 million caregivers working full time, according to the survey. The survey estimates that by 2020, one in three U.S. households will be responsible for taking care of an elderly relative, compared with one in four today.
According The Family Medical Leave Act, covered employers must grant an eligible employee up to a total of 12 workweeks of unpaid leave during any 12-month period for one or more of the following reasons:
1. For the birth and care of the newborn child of the employee
2. For placement with the employee of a son or daughter for adoption or foster care
3. To care for an immediate family member (spouse, child, or parent) with a serious health condition
4. To take medical leave when the employee is unable to work because of a serious health condition.
Many larger companies have an Employee Assistance Program that helps find resources to care for an aging parent. Smaller employers may also offer some form of information including pamphlets and lists of local organizations that may be useful.
Other options include:
- Contacting Eldercare Locator, a service of the National Association of Area Agencies on Aging at 800-677-1116.
- A state by state listing of paid leave programs for caregivers can be found on the web.
In some states, caregivers are offered at least some level of compensation for caring for a family member. These include:
Colorado- In rural areas, family members providing assistance to loved ones may be eligible to receive up to $400 per month as compensation to provide personal care services.
North Dakota- Pays up to $700 per month to spouses and other family members who care for Medicaid beneficiaries living in rural areas who would otherwise require admission to a nursing home.
Wisconsin- A family member may be eligible for compensation either for caregiving or, in some situations, for performing services normally provided by a social worker.
North Carolina- family caregivers supporting loved ones may be able to reduce out of pocket expenses through the use of state-funded vouchers that can be used to buy nutritional supplements, incontinence supplies, and personal emergency response systems, among other items. In some circumstances caregivers may be eligible for direct cash compensation. While in most cases compensation is provided to family members who are not immediate family, there are times when immediate family is eligible for pay, such as when they are caring for a loved one with dementia who lives in a rural area.
Massachusetts- Elders who meet Medicaid criteria and who qualify for nursing home care now have the option of receiving compensated home-based care from family members or friends. The Enhanced Adult Foster Program covers up to $18,000 annually for family members who provide 24-hour care in the home. These caregivers receive specialized training, support of both a registered nurse and a care manager, and help in locating respite services.
Talk to Your Employer About A Dependent Care FSAs
Consider utilizing a Dependent Care FSA (Flexible Spending Accounts) to help pay for medical/elder care expenses. These plans allow employees to contribute a portion of salary, before taxes, to accounts designated for health care expenses, including premiums and child/elder care expenses. Then employees are reimbursed from their accounts with tax free dollars for unreimbursed medical expenses and child/elder care expenses. The funds must be used before the end of the plan year, or grace period, or else unused dollars are forfeited. If a caregiver has access to these plans, they should use them, but plan carefully so that contributions are not more than can be used in a year.
If an elderly parent lives with a participant and relies on that person for at least 50% of their support, the Dependent Care FSA may be used for day care expenses. However, the care must be necessary to allow the participant to work, and cannot be custodial nursing care. If the participant is married, the care must be necessary because the spouse also works, is looking for work or is a full-time student.
When an aging family member needs help at home, talk to your employer about the options available to you. Research local resources that may lessen the stress and complication for you as a caregiver. Education and information are the key to getting organized and minimizing stress. Surround yourself with people who can help. Assemble your team. That team includes your Human Resource representatives and coworkers. Sharing your situation may be more helpful than you realize.
