Caregiving is one of the most selfless and demanding roles anyone can take on. Whether you’re looking after an aging parent, a child with special needs, or a sick family member, the emotional and physical stress is often matched by financial pressure. The COVID-19 pandemic highlighted just how important caregivers are—and also how little support they often receive. While many people received stimulus payments during the pandemic, caregivers were sometimes left wondering if they qualified or if there were any programs designed specifically for them. This article explores the types of financial help available for caregivers, including stimulus-related relief and ongoing support programs.
Who Qualifies as a Caregiver and Why It Matters
In the U.S., a caregiver is someone who helps another person with daily tasks such as bathing, dressing, cooking, transportation, or managing medications. Caregivers may be unpaid family members or paid professionals. According to AARP, over 53 million Americans are unpaid family caregivers.
When it comes to financial support, the first step is knowing if you qualify for any programs based on your caregiving role. For example:
- If you care for a child or dependent adult, you might qualify for Child Tax Credits or Dependent Care Credits.
- If your income was impacted due to caregiving, you may have been eligible for pandemic stimulus checks.
- In some states, you can even receive payment for being a caregiver through Medicaid waiver programs.
These qualifications can change depending on your state, your income, and who you’re caring for.
Stimulus Payments and Tax Benefits for Caregivers
During the COVID-19 pandemic, three rounds of stimulus checks were sent out by the federal government. These checks were based on income, filing status, and number of dependents. If caregivers claimed a dependent on their tax return, they could receive additional funds for each dependent—even if the dependent was an adult.
In addition, some caregivers benefited from:
- Child Tax Credit (CTC): Expanded in 2021, this gave up to $3,600 per child.
- Dependent Care Tax Credit: Helped cover child care or elder care costs, offering up to $8,000 in credits for two or more dependents.
- Earned Income Tax Credit (EITC): Offered extra support to low-income working caregivers.
Caregivers who were self-employed and had to stop working to care for someone due to COVID-19 might have also qualified for paid leave credits through the IRS.
Other Financial Support Programs for Caregivers
Even beyond stimulus checks, many programs offer ongoing support for caregivers. These include:
- Medicaid Home and Community-Based Services (HCBS): In some states, family members can be paid caregivers under Medicaid.
- Family Caregiver Support Program (FCSP): Offers local help like counseling, respite care, and financial planning.
- Veterans Affairs (VA) Caregiver Support: If you’re caring for a veteran, you might qualify for monthly stipends and health insurance.
- Supplemental Security Income (SSI) and Social Security Disability Insurance (SSDI): If you’re caring for someone receiving these benefits, you may be eligible for support.
Some private insurance companies also offer caregiver benefits, so it’s worth checking policies if your loved one has long-term care insurance.
Being a caregiver is not easy, especially when you’re also struggling financially. Fortunately, there are several programs and tax benefits that can offer relief—if you know where to look and how to qualify. From pandemic-era stimulus payments to ongoing state and federal support, help is available. The key is to stay informed, file taxes correctly, and connect with local agencies for guidance. While caregiving is often unpaid, that doesn’t mean you have to do it unsupported. Financial relief is out there, and it can make a big difference in your daily life and peace of mind.
FAQ’s:
Q1. Did caregivers get stimulus payments during the pandemic?
A1. Yes, if caregivers met income limits and claimed dependents, they were eligible for stimulus payments, including extra money per dependent—even adults.
Q2. Can a family caregiver be paid for their work?
A2. In some states, Medicaid offers programs where family caregivers can be paid for taking care of a loved one. Check with your state’s Medicaid office.
Q3. What tax benefits can caregivers claim?
A3. Caregivers may qualify for the Child Tax Credit, Dependent Care Credit, or Earned Income Tax Credit depending on their income and care responsibilities.
Q4. Are there special programs for caregivers of veterans?
A4. Yes, the VA offers a Caregiver Support Program that provides monthly stipends, access to health care, and training for family caregivers of eligible veterans.
