Bipartisan Bill Proposes $5,000 Tax Credit for Family Caregivers

A bipartisan effort in Congress is underway to support America's 48 million family caregivers through two key legislative proposals. The first, the WISH Act, aims to establish federal catastrophic long-term care insurance, while the second, the Credit for Caring Act, would provide a nonrefundable federal tax credit of up to $5,000 to help cover out-of-pocket caregiving expenses. This tax credit is designed to ease the financial burdens faced by caregivers, who spend an average of over $7,200 annually on caregiving costs. AARP and other organizations advocate for these measures, highlighting the importance of supporting caregivers as they often balance their responsibilities with full-time jobs. Despite bipartisan support, experts stress that additional measures, such as improved Medicaid coverage, may be necessary to fully address the challenges caregivers encounter. The future of these proposals now lies in Congress's hands, with ongoing discussions about their potential impact on family caregivers' financial stability.