How Do Your Caregiver Benefits Stack Up?

Roughly 63 million adults in the U.S. — nearly a quarter of the country’s population — are caregivers. Whether caring for young children, elderly parents, disabled siblings or others, these caregivers collectively contribute more than $1 trillion worth of unpaid work annually.

And, nearly 70% of caregivers are employed while providing care — which means some of these caregivers likely work for you.

“Family caregivers are the backbone of our nation’s long-term care system, yet millions are stretched thin as they balance work and caregiving responsibilities,” said Rita Choula, the director of caregiving at the AARP Public Policy Institute. “Without stronger workplace supports and financial relief, caregivers will continue to face difficult choices that affect their health, careers and financial security.”

Access a bonus Workspan Daily Plus+ article on this subject:

• The ABCs of Caregiver Support: Audit, Build, Communicate

Caregiving Costs

According to Choula, family caregivers spend an average of $7,242 each year on caregiving costs, and many reduce work hours, leave the workforce or dip into savings to provide care. Nearly half report negative financial impacts such as using savings, taking on debt, borrowing money or struggling to afford basic necessities. Caregiving also can be physically and emotionally demanding, particularly for those providing high-intensity care, Choula added.

The scope and cost — financial, mental and emotional — of caregiving in the U.S. is massive and largely invisible, agreed Kasey Edwards, the CEO of Helpr, a care benefits platform. Economics aside, 78% of caregivers report burnout, and a third show signs of clinical depression, she said.

It’s an issue that touches most every lever rewards can impact, Edwards said, including:

• Productivity. Most caregiver burnout costs come from presenteeism, not absenteeism.
• Retention. It’s a preventable risk that results in expensive turnover.
• Equity. Caregiving duties fall unevenly, often on women.
• Financial well-being. Care costs belong in the same conversation as a 401(k) match.

“The safety net of care coverage can help not only support retention stats, but also the complex replacement for that missed shift — like overtime for a coworker, or worse yet, management stepping in to do a job they’re overpaid to support,” Edwards said. “If you’re only solving this with a parental leave policy or a limited-access program, you’re solving a fraction of the problem, and leaving meaningful support and ROI [return on investment] on the table.”

Growing Caregiver Benefits

Access to paid caregiver leave has nearly doubled over the last decade — offered at 40% of organizations in 2025, up from 21% of organizations in 2016, according to WorldatWork’s Total Rewards Inventory of Programs and Practices research.

But paid leave isn’t the only benefit on the table. The study found a range of rewards programs offered to help employees care for dependents. As of 2025:

• 72% of employers offer dependent care spending accounts;
• 41% offer childcare resource and referral services;
• 38% offer elder care resource and referral services;
• 12% offer an employee discount program for dependent-care providers; and,
• 11% offer support for employees with responsibility for individuals with special needs.

“Caregiving is a huge and growing need in the U.S.,” said Megan Yost, a senior vice president of thought leadership and insights at consulting firm Segal. “Anyone who’s trying to attract talent to their organization or industry — and retain that talent — needs to pay attention to these stats and consider the implications for work.”

Editor’s Note: Additional Content

For more information and resources related to this article, see the pages below, which offer quick access to all WorldatWork content on these topics:

• Employee Benefits
• Total Rewards
• Well-Being