The study found that household expenses, including paying rent or mortgages or doing home conversions, account for the largest share (41%) of caregiver expenses. The second largest share (25%) was accounted for by medical costs, including costs for inpatient care and insurance costs. Remote caregivers – those who lived more than an hour away from their loved one – had the highest cost of ownership ($ 11,923), while those caring for an adult with dementia had nearly double the out-of-pocket expenses ($ 10,697 of those caring for someone) who does not have dementia ($ 5,758).
On average, families spent $ 7,242 a year to provide care, according to the AARP – but the amount and financial burden varied by cultural group. African Americans spent an average of $ 6,746, or 34% of their median income. Latinos spent $ 7,167, or 47% of their median income. Asian Americans spent $ 8,368, or 22% of their median income.
“The study showed that a significant portion of the cost tends to help people with professional care and long-term cost of living, but there is everything in between in terms of supporting those day-to-day expenses, like prescribing or collecting groceries on their behalf. “Said Lowes. “These costs are typically borne by a primary caregiver, the person who is closest to that person, both emotionally and physically.”
Recognizing the burden often placed on a family member, RBC introduced a care coordination phone application that allows that member to share care responsibilities by assigning them to other family members so they can help with driving to appointments or shopping . It also allows them to upload and share expenses, Lowes said, “so that the burden isn’t borne by just that one primary caregiver.”
“This is without a doubt a very challenging generation that we are in,” said Lowes, “and I think it will continue to do so in the future, where people with aging parents may also support adult children.