Most parents claim their children as dependents on their taxes, but now an increasing number of Americans are claiming their parents, according to a recent survey.
More than 54% of Americans aged 25 or older with a living parent said they’re claiming their parents on their taxes this year, and 53% of them said they started doing so in the past two years, according to a Caring.com survey last month of more than 4,000 people.
Poverty among older adults at least 65 years old has grown faster than any other age group in the past few years as inflation has risen, Census Bureau data show. That’s left many adult children supporting their parents and claiming them as dependents to save potentially thousands in dollars in taxes to help defray those costs.
How much does caregiving cost?
More than 48 million Americans are caregivers, providing $470 billion in unpaid care for their loved ones. That’s doing everything from helping prepare meals and paying bills to assisting with medication and medical/nursing tasks in order to help parents, spouses and other loved ones live independently in their homes.
The average caregiver in the U.S. spent $7,242 in out-of-pocket costs in 2021, according to AARP.
Many caregivers also are part of the so-called “sandwich generation,” simultaneously taking care of their parents and children. Of the 54% of Americans claiming their parents on their taxes this year, 74% have at least one child dependent, Caring.com said.
“As the Baby Boomer…
