A reality of our modern lives is that for many of us, becoming a caregiver often starts well before we even realize we are providing care. We could be helping a parent with their bills, coordinating prescriptions, driving a spouse to an appointment, or going a little out of our way to check on a loved one on our commute home.
Over time, these small acts of love and doing what needs to be done can quietly become one of the most significant financial roles we take on. And disproportionately, this default role of caregiver often falls to women. In fact, according to the 2025 Caregiving in the U.S. report, 61% of family caregivers are women, compared with 38% who are men.
When we talk about the “Caregiving Gap,” it is a recognition of the cumulative impact of absorbing caregiving responsibilities – be it for one’s children, aging parents, spouse, or other loved one – that compound over time via reduced earnings and derailed career momentum.
Indeed, the costs of caregiving can manifest in both direct and indirect ways. Direct costs include transportation, home modifications, medical supplies, household help, paid care, legal documents, prescriptions, or missed reimbursements. Indirect costs, on the other hand, are the silent multipliers over time that include reduced hours, missed promotions, career pauses, lower retirement contributions, and lower future Social Security benefits.
These numbers add up. A report by the U.S. Department of Labor Women’s Bureau detailed that the estimated employment-related costs for mothers providing unpaid care averages $295,000 per lifetime, and that unpaid family caregiving can reduce a woman’s lifetime earnings by 15%.
Why does this especially matter now? According to the same Caregiving in the U.S. report, the number of family caregivers has spiked 45% over the past 11 years, with 59 million of the estimated 63 million Americans (roughly one in four adults) supporting an adult with complex medical conditions or disabilities.
It is clear, then, that caregiving is no longer a rare or temporary family situation. For many households, it is becoming a normal part of financial life. As such, it is important for us to open the conversation about caregiving, and why women should acknowledge that it can be a substantial part of their overall financial picture, impacting income, emergency savings, benefits, retirement contributions, insurance needs, estate planning, and family communication.
This is why we will focus in on the “Caregiving Gap” for the next several months as part of our broader Bridge the Gaps program. The goal is to build on the content and conversations we put forth as part of our “Confidence Gap” topic, which endeavored to help build a foundation for women to feel empowered to take control of their financial lives, and apply this to the growing and often complicated reality that caregiving presents for women.
By acknowledging the Caregiving Gap, women can begin to approach care with more clarity, more communication, and more confidence, and plan proactively about how it might impact their own financial futures. The goal is not to predict every future need. It is to create enough structure so that love, responsibility, and financial well-being can coexist more sustainably.
Important Disclosures:
Please remember that past performance is no guarantee of future results. Different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment, investment strategy, or product (including the investments and/or investment strategies recommended or undertaken by Grimes & Company Wealth Management, LLC (d/b/a Grimes & Company), or any non-investment related content, made reference to directly or indirectly in this blog will be profitable, equal any corresponding indicated historical performance level(s), be suitable for your portfolio or individual situation, or prove successful. Due to various factors, including changing market conditions and/or applicable laws, the content may no longer be reflective of current opinions or positions. Moreover, you should not assume that any discussion or information contained in this blog serves as the receipt of, or as a substitute for, personalized investment advice from Grimes. To the extent that a reader has any questions regarding the applicability of any specific issue discussed above to his/her individual situation, he/she is encouraged to consult with the professional advisor of his/her choosing. No amount of prior experience or success should be construed that a certain level of results or satisfaction will be achieved if Grimes is engaged, or continues to be engaged, to provide investment advisory services. Grimes is neither a law firm nor a certified public accounting firm and no portion of the blog content should be construed as legal or accounting advice. A copy of the Grimes’ current written disclosure Brochure discussing our advisory services and fees is available for review upon request or at https://www.grimesco.com/form-crs-adv/. Please Note: Grimes does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to Grimes’ web site or blog or incorporated herein, and takes no responsibility for any such content. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly. Please Remember: If you are a Grimes client, please contact Grimes, in writing, if there are any changes in your personal/financial situation or investment objectives for the purpose of reviewing/evaluating/revising our previous recommendations and/or services, or if you would like to impose, add, or to modify any reasonable restrictions to our investment advisory services. Unless, and until, you notify us, in writing, to the contrary, we shall continue to provide services as we do currently. Please Also Remember to advise us if you have not been receiving account statements (at least quarterly) from the account custodian./