NAIFA has joined a coalition of national organizations urging Congress to pass the Lowering Costs for Caregivers Act (S.1565/H.R.138).
Family caregivers play an essential role in supporting loved ones who wish to remain in their homes, but the financial burden can be significant. On average, caregivers spend more than $7,200 out of pocket each year, representing about 26% of their income. Many also face difficult financial tradeoffs such as reducing work hours, dipping into savings, or taking on debt to cover caregiving costs.
The Lowering Costs for Caregivers Act would provide meaningful relief by allowing caregivers to use funds from health savings accounts (HSAs), flexible spending accounts (FSAs), health reimbursement accounts (HRAs), and Archer medical savings accounts to pay for qualified medical expenses for a parent or parent-in-law in addition to spouses and dependents, which is the current limitation under law.
For financial professionals, this policy change could help families better manage the costs of caring for aging loved ones while maintaining their broader financial plans. It is particularly relevant for those in the “sandwich generation,” who are simultaneously supporting both children and aging parents.
By signing this coalition letter alongside organizations representing caregivers, healthcare providers, and financial institutions, NAIFA reinforces its commitment to policies that improve financial resilience and support the Americans who care for family members every day.