New Report Reveals Financial Struggles Among Caregivers Forced into Early Retirement
A new report from the Employee Benefits Research Institute (EBRI) highlights that nearly 56% of caregivers in the U.S. are forced to take early retirement due to caregiving responsibilities, often at significant financial cost. Many face reduced savings and increased debt, with 34% holding less than $10,000 in total savings or investments. These individuals frequently sacrifice income by reducing work hours or leaving their jobs entirely, impacting long-term retirement security. The report also notes that caregivers are often responsible for the financial needs of both care recipients and children—especially those in the Sandwich Generation—which strains household budgets further. Social Security is not a reliable solution due to projected funding shortfalls, with benefits potentially cut by 22-24% after its primary trust fund runs out around 2032. Experts suggest that employers can help mitigate these challenges through workplace policies such as elder care subsidies and flexible work arrangements.
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Topics: caregivers EBRI report financial security retirement