Social Security Caregiver Credit Act of 2026
- Bill Number
- S. 4396
- Origin Chamber
- Senate
- Congress
- 119th Congress, Session 2
- Status
- Introduced
- Latest Action
- 2026-04-27: Read twice and referred to the Committee on Finance.
- Last Updated
- 2026-05-05T05:23:23Z
AI-Generated Summary
Social Security Caregiver Credit Act of 2026 (S. 4396)
Purpose
To provide retirement security for unpaid family caregivers by crediting them with "deemed wages" (fictional earnings counted as real wages) under Social Security for up to five years of caregiving service to dependent relatives, such as young children, the chronically ill, disabled, or elderly family members.
Key Provisions
- Qualifying Months: A month counts if the caregiver provides at least 80 hours of unpaid care to a dependent relative before reaching retirement age (typically 62–67, depending on birth year).
- Dependent Relatives:
- Children, grandchildren, nieces, nephews (or those stood in loco parentis—acting as a parent) under age 12.
- Family members (including parents, siblings, spouses, domestic partners) who are "chronically dependent," meaning they need daily help with at least two basic daily activities (e.g., eating, bathing) or independent living tasks (e.g., shopping, managing money).
- Deemed Wages Calculation:
- Equals 50% of the national average wage index (a measure of average U.S. earnings, adjusted yearly) if no other wages earned that month.
- If partial wages earned, credits the difference above half of actual wages.
- Limited to the last 60 qualifying months (5 years total).
- Application Requirements: Caregivers must apply to the Social Security Administration (SSA) with relative's details, doctor's note (if not a young child), and periodic certifications. Assistance for veteran caregivers (under VA programs) is not considered pay.
- Safeguards: Does not apply if it would reduce benefits; SSA must issue anti-fraud rules within one year.
- Effective Date: Benefits and lump-sum death payments affected after December 2026.
Significant Changes to Existing Law
- Adds new Section 235 to Title II of the Social Security Act (old-age, survivors, and disability insurance).
- Updates wage index references to include these deemed wages.
- First time unpaid family caregiving is credited as wages for Social Security, addressing exclusion of some paid home caregivers under state programs.
Potential Impacts
- On Citizens: Improves retirement benefits and economic security for unpaid caregivers (e.g., higher monthly Social Security checks or survivor benefits), recognizing caregiving as valuable work.
- On Government Agencies: Increases SSA administrative workload (applications, verifications) and future payouts; trust funds projected solvent until 2034 per cited report.
- No Direct International Relations Impact.
Main Stakeholders
- Unpaid Family Caregivers: Primary beneficiaries, including parents of young children, caregivers for disabled/elderly relatives, and veteran family caregivers.
- Social Security Administration: Handles implementation, regulations, and fraud prevention.
- Dependents and Families: Indirectly supported through caregiver financial stability.
- Taxpayers/Future Beneficiaries: Potential strain on Social Security funds.
Notable Legal, Constitutional, or Political Implications
- Legal: Establishes clear certification processes to ensure eligibility and prevent abuse; integrates with existing VA caregiver support without conflicting.
- Constitutional: No apparent issues; Congress has authority over Social Security under spending power.
- Political: Signals Senate recognition of caregiving's value (via findings/sense of Senate), potentially bipartisan appeal for family support, but may spark debate on program costs amid trust fund concerns.
This summary was generated by AI and may contain inaccuracies. Refer to the official source document for the authoritative text.
Sponsor
Sen. Murphy, Christopher [D-CT]
Cosponsors (1)
Sen. Gillibrand, Kirsten E. [D-NY]
Recent Actions
- 2026-04-27: Read twice and referred to the Committee on Finance.
- 2026-04-27: Introduced in Senate
Bill Versions
- Social Security Caregiver Credit Act of 2026 — issued 2026-04-27 — PDF (9 pages)