Caregiving, health status and total family net worth among men and women approaching retirement age

Background and Objectives: Building on opportunity cost theory and an understanding of how gender impacts household labor decisions, this study examines how family net worth may be impacted by three variables (having a work-limiting health condition, caregiving inside the home, caregiving outside of the home) while controlling for demographic and employment-related variables for married and unmarried male and female caregivers. Research Design and Methods: This study uses a nationally representative sample of 5,173 older adults ages 51-60 from the 2016 round of 1979 National Longitudinal Survey of Youth (NLSY79). Results: Findings from the weighted sample suggest having a limiting health condition is significantly and negatively related to total family net worth: people with a work limiting health condition experience a $55,000-$180,000 decline in total family net worth. Further, caregiving inside the home had a significant negative relationship with total family net worth for two subgroups: married males and unmarried females. Providing care to someone outside the home was significantly and positively related to total family net worth only for unmarried males. Discussion and Implications: Findings from this study reinforce the need for policies and programs to help employees manage their own health conditions and caregiving responsibilities for family members with financial preparedness for retirement.