New Report Shows NJ Family Caregivers Have Earned a Tax Credit by Providing More Than $17 Billion in Unpaid Care to Loved Ones
NEW BRUNSWICK, N.J. (March 8, 2023) – The unpaid care provided by the 1 million caregivers in New Jersey is valued at more than $17 billion, according to new state data available in AARP’s latest report in the Valuing the Invaluable series. This is more than a $4 billion increase in unpaid contributions since the last report, which was released in 2019, further demonstrating that family caregivers have earned some financial relief.
AARP New Jersey is fighting and will continue to fight for family caregivers and the loved ones they care for. Right now, AARP is urging lawmakers to bring much-needed financial relief to family caregivers through a modest tax credit.
“Family caregivers are truly the backbone of our long-term care system in New Jersey,” said Ev Liebman, AARP New Jersey’s Director of Advocacy. “The care families and friends provide is invaluable for those receiving it, and is a precious resource for communities, cities and states wrestling with the realities of an aging population. We want to make sure all family caregivers have the financial, emotional and social support they need.”
Family caregivers provide unpaid care valued at a significantly higher level – more than $4 billion – since the last “Valuing the Invaluable” report. Yet, Governor Murphy’s Fiscal Year 2024 budget proposal does not include financial relief for family caregivers, which is financial relief they have earned.
New Jersey’s family caregivers help keep our loved ones at home and out of costly, taxpayer-funded nursing homes. This saves New Jersey – and taxpayers – money since nursing home care is mostly paid for by the state, through Medicaid; yet, family caregivers pay out of their own pockets spending an average of 26% of their income on caregiving activities.
That’s why AARP New Jersey is urging the NJ Legislature to pass bipartisan legislation, the Caregiver’s Assistance Act (A1802/S2021), which would provide a modest tax credit for families who take on caregiving expenses.
The new report highlights the growing scope and complexity of family caregiving and highlights actions needed to address the many challenges of caring for parents, spouses, and other loved ones. Read the full report for national and state-by-state data on the economic value of unpaid care by family and friends.
Resources and information on family caregiving are available at aarp.org/caregiving.
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About AARP
AARP is the nation’s largest nonprofit, nonpartisan organization dedicated to empowering people 50 and older to choose how they live as they age. With a nationwide presence and nearly 38 million members, AARP strengthens communities and advocates for what matters most to families: health security, financial stability and personal fulfillment. AARP also produces the nation's largest circulation publications: AARP The Magazine and AARP Bulletin. To learn more, visit www.aarp.org or follow @AARP and @AARPadvocates on social media.
