How the Cost of Caring for Aging Parents Is Soaring for Families

Last updated: October 29, 2026

NewsWK — Caring for an older relative is becoming a major financial challenge for local families. This trend impacts households across Southern Vermont, Eastern New York, and Western Massachusetts. Furthermore, out-of-pocket expenses for family caregivers have increased dramatically over the past five years. Today, many local residents spend thousands of dollars each year on caregiving needs.

Recent national data underscores the growing scope of this crisis. Across the United States, tens of millions of adults manage daily needs for loved ones. However, these essential responsibilities frequently disrupt personal finances and work routines.

What do rising family caregiving costs mean for Bennington area families?

Families Across Bennington County and nearby border communities face mounting financial pressures as caregiving costs climb. Local caregivers frequently pay out of pocket for medical care, housing, and groceries. As a result, these expenses stretch household budgets thin across our region. Consequently, many residents adjust work hours or tap into savings to support aging relatives.

For many households in Bennington, Manchester, and surrounding towns, caregiving creates complex daily choices. Caregivers often cover immediate bills out of their own bank accounts. Also, local working adults frequently take unpaid leave or reduce work hours to provide hands-on help.

Low-income households experience the hardest impact from these financial demands. Specifically, families earning under $40,000 annually devote an average of 76% of their total income to caregiving costs. Meanwhile, higher-income households earning over $85,000 spend between 9% and 19% of their annual earnings on care.

What did the new AARP caregiving study reveal about expenses?

A comprehensive AARP caregiving study shows that family caregivers now spend an average of $11,508 annually in direct costs. That figure represents a 60% jump over five years. Consequently, these expenditures eat up nearly a third of average household income nationwide. This trend creates severe financial strains on working families.

The findings highlight how fast family caregiving costs have escalated in recent years. Today, about 63 million Americans serve as unpaid caregivers for family members. Over the past decade, the total number of adult caregivers grew by 50%.

Overall, family caregivers deliver roughly $1 trillion in unpaid labor every year. Here is where most caregiving money goes each month:

• Housing expenses and necessary home modifications
• Medical care, including health insurance premiums and doctor copays
• Direct payments to healthcare providers and therapists
• Groceries, personal care items, and daily transportation

In addition, families supporting individuals with memory loss face even higher bills. For instance, caring for someone with Alzheimer’s disease or another dementia costs an average of $15,846 per year.

How do elderly care out of pocket expenses vary across regions?

Regional differences play a major role in elderly care out of pocket expenses across the nation. Specifically, caregivers in Northeastern states face the steepest financial burdens in the country. Neighboring New York caregiving expenses rank among the highest nationally. In fact, regional households spend nearly double the amount spent by caregivers in Midwestern states.

Caregivers in New York, New Jersey, and Pennsylvania report average annual expenditures of $15,845. In contrast, caregivers in Midwestern states such as Iowa and Minnesota spend an average of $7,955 Annually. Because Bennington County borders New York and Massachusetts, local families face high regional costs.

Demographics also play a significant role in caregiving expenses. For example, Asian American and Pacific Islander caregivers spend the highest annual average at $16,716. Black caregivers spend an average of $13,565, which equals 52% of their average household income. Furthermore, Hispanic caregivers spend $10,684 per year, while white caregivers average $9,806 annually.

Why are New York caregiving expenses and regional financial burdens climbing?

High regional costs for housing and Medical Care Drive up New York caregiving expenses significantly. For families in Nearby Bennington County and border towns, medical copays consume a major share of personal income. Furthermore, home modifications and health insurance premiums add thousands of dollars to annual household bills in our area.

However, the financial strain spreads far beyond direct bank payments. Employment disruptions represent another major burden for working caregivers. In fact, nearly two-thirds of working caregivers change their schedules or take time off for caregiving duties.

“Whether they’re paying for groceries, housing or medical care, family caregivers are making a significant financial commitment that can affect their own economic security,” said Debra Whitman. She serves as AARP executive vice president and chief public policy officer.

What context explains the growing scale of unpaid family care?

Over 63 million Americans currently provide unpaid care to older family members or individuals with disabilities. Notably, the total number of adult caregivers expanded by 50% during the past decade. Together, these caregivers supply roughly $1 trillion in unpaid labor each year across the country. Therefore, they serve as the foundation of long-term care.

To address these growing struggles, public health policy advocates recommend several concrete solutions:

• Creating tax credits and financial grants for family caregivers
• Expanding paid family leave options for working adults
• Increasing access to home-based care resources
• Offering better navigation services for complex healthcare systems

Related: Border County Tax Pressures Mount as New York Shifts SNAP Costs

Related: Escambia County Aging Population: Shifts Bring Challenges for Pensacola