The Catching Up Family Caregivers Act of 2026 allows family caregivers to make additional contributions to retirement accounts before reaching age 50, a benefit previously limited to workers age 50 and older. A "qualified family caregiver" is defined as someone who provided at least 500 hours of unpaid caregiving in the current or previous year while working less than 500 hours in paid employment, caring for children or adults with special needs including elderly individuals. This benefit applies to both employer-sponsored retirement plans and Individual Retirement Accounts, though individuals can claim this status for no more than five total tax years. The changes take effect for tax years beginning after December 31, 2026, and employers are allowed to rely on workers' written statements to verify their caregiver status rather than requiring extensive documentation.
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