Caregiver Income Loss

Some state Medicaid programs, often through home and community-based services waivers, allow an eligible patient to hire a family member as a paid caregiver. Rules vary by state, waiting lists are common and some states restrict payment to spouses. The Department of Veterans Affairs runs caregiver support programs, and some eligible caregivers of veterans may qualify for a monthly stipend and other services. Area agencies on aging may know of local respite or caregiver support funds. A hospital or hospice social worker can help figure out which programs might apply and how to start the application process.

The Family and Medical Leave Act can protect an eligible caregiver's job during unpaid leave to care for a spouse, child or parent. Several states run paid family leave programs that replace part of a caregiver's wages for a limited time. Employers may also offer paid time off, flexible schedules, remote work or employee assistance programs with counseling and referral services. Ask human resources what is available before cutting hours or resigning, and check your state labor department's website for current paid leave rules. Keeping some connection to work can protect income and benefits over the long run.

Leaving work or working fewer hours can mean losing employer health insurance, retirement contributions and years of Social Security earnings. Before making a change, compare options such as unpaid leave, part-time work or temporary reduced duties. If you lose coverage, look at COBRA, marketplace plans or Medicaid. Keep a record of lost wages and caregiving expenses, since some legal claims consider the losses families experience, depending on state law and the facts. A financial advisor or benefits counselor can help you plan so caregiving does not create lasting hardship.

1. 1

   Ask a social worker whether Medicaid waiver or VA caregiver programs are available in your state.

2. 2

   Check with human resources about FMLA, paid time off and flexible work arrangements.

3. 3

   Look up whether your state offers paid family leave for caregivers.

4. 4

   Keep a record of lost wages and caregiving costs in case they matter later.