“Reclaiming Affordability” is an op-ed series in partnership between Independent Women and the Washington Examiner. Each day this week, a policy expert at Independent Women will tackle the top concern on the mind of voters this election cycle from a different angle, putting forth realistic solutions to the affordability crisis.
In a recent Business Insider piece, a young mother described welcoming her first child only to find herself caring for her own aging father just months later. Suddenly, she was managing two generations at once: figuring out feeding schedules and pediatric visits for her baby while also helping her father navigate daily routines and medical care.
Economists use the term “sandwich generation” to describe people in her shoes, caught between caring for children and supporting aging parents. Across the United States, millions of families are navigating this situation. Nearly 1 in 4 American adults now identifies as part of the sandwich generation, responsible for helping both children and older relatives. Among caregivers specifically, about 29% are supporting children and adults at the same time.
OPINION: DEREGULATE TO MAKE CHILDCARE AFFORDABLE AGAIN
Families who pay for child care now pay an average of more than $14,000 per year nationwide, with prices climbing even higher in many cities. In some communities, infant care rivals a monthly mortgage payment. Meanwhile, elder care costs are rising rapidly, too, as Americans live longer and the demand for in-home help grows.
For many families caught in the middle, the financial pressure can be overwhelming. Nearly 7 in 10 of sandwich-generation caregivers say helping aging parents is creating a serious financial strain. Many quietly draw down their savings to make sure both generations are taken care of.
So why has care become so expensive?
Across both child care and elder care, a similar pattern emerges. Over time, burdensome rules and regulations, along with government subsidies that often favor larger providers, have reduced the number of available care providers — particularly small and home-based providers that once offered affordable options for families. Fewer providers mean fewer options and higher prices for families.
In the case of child care, licensing requirements, staffing mandates, and facility rules have made it increasingly difficult for providers to open or stay in business. Some of these regulations, even though they were created with good intentions, add significant costs without clearly improving safety or quality.
Families deserve policies that make both child care and elder care more affordable and accessible. Done right, reform can do just that, as a recent report, “Reclaiming Affordability,” explains.
Some states are beginning to reverse course. Last year, Tennessee passed legislation aimed at simplifying child care licensing rules so that more providers, especially small and home-based programs, can operate and serve families. This is significant, especially since many parents prefer home-based care, with 65% saying they would choose it even if other options were readily available.
Federal policymakers could also help families manage these costs more directly. Expanding Dependent Care Flexible Spending Accounts, for example, would allow parents to set aside more pre-tax income to pay for child care.
Elder care faces many of the same challenges. For decades, public policy has leaned heavily toward institutional care models, even though most older Americans say they would prefer to remain in their homes. At the same time, federal labor rules have made some in-home care arrangements more complicated and expensive for families.
There are innovative ideas worth exploring. Expanding the federal au pair program to include senior care placements, for example, and “American caregivers” could increase the supply of live-in caregivers while giving families more flexible options.
Flexible work can also be part of the solution. Millions of parents and caregivers rely on remote work, contract work, or flexible schedules to balance employment with caregiving responsibilities. Policies that restrict these opportunities can make it harder for families to manage care.
RESTORING AMERICA: TRUMP PUTS SENIORS FIRST BY MAKING DRUGS AFFORDABLE AGAIN
As Americans live longer, the number of sandwich-generation households will only grow. That reality should push policymakers toward a simple goal: make it easier — not harder — for families to care for the people they love.
At the end of the day, this is about real people’s lives. For millions of women balancing responsibilities on both ends of life, affordability can be the difference between keeping a family afloat and watching financial strain pull it apart.
Heather Madden is vice president for policy initiatives at Independent Women.
