In 2013, the U.S. Department of Agriculture (USDA) estimated that it costs, on average, $241,080 to raise a child from birth to age 18, or $13,393.00 a year. For many grandparents, fixed income due to retirement cannot sustain a family that includes a child or children. For those grandparents still working, their priorities have shifted from paying daycare and schooling costs to creating assets to fund retirement. In either case, the responsibility of raising a grandchild can create financial hardship.
Depending on the legal arrangement allowing you to care for your grandchildren, the status of their parents, the income of your grandchildren, and where you live, a variety of benefits may be available to help you with the costs of raising your grandchildren.
1. Parents are always obligated to support for their children, even if someone else, like a grandparent, is the caregiver. You may be entitled to child support from one or both parents. A family law attorney can assist you in taking private action against the parent or parents of a grandchild to obtain support. If you cannot afford an attorney, most states assist in the determination and collection of child support, often through the agencies that make eligibility determinations for such programs as food stamps (now known as SNAP), Medicaid, or Temporary Assistance for Needy Families (TANF).
2. If your grandchildren’s parents are disabled or deceased, your grandchildren may qualify for Social Security survivor or family benefits depending on their parents’ work history. As their caregiver, you can apply for these benefits on their behalf by contacting the Social Security Administration or submitting an application on line.
3. If your grandchildren are disabled, they may qualify for Social Security benefits based on a parent’s work history or Supplemental Security Income (SSI). SSI is a means-tested program providing cash assistance to individuals, including children, who are disabled but have not worked enough to qualify for Social Security Disability benefits.
4. Benefits such as WIC (Supplemental Nutrition Program for Women, Infants & Children), food stamps (now known as SNAP), Medicaid, Temporary Assistance for Needy Families (TANF), and low income home energy assistance may also be available based on your household income and size. These benefits are administered by each state. For more information, follow any of the links above or contact your local state agency.
5. If you are caring for your grandchildren through your state’s foster care program, small cash payments may be available for each child to defray some costs. Depending on your state, there may also be programs available to assist with child care, medical care, clothing, tutoring, and transportation.
6. For grandchildren ages 2-5 in low-income households, early childhood development and preschool programs such as Head Start may be available. These programs not only provide early childhood and preschool education, but also meals and some limited transportation. Some also include ancillary services for grandparents raising grandchildren such as support groups, parenting education, and counseling.
7. For school age grandchildren, school districts provide transportation if a child lives outside a certain radius of the school, have after-school programs, and participate in the National School Lunch Program that provides lunch and, sometimes breakfast, for free or a reduced costs to children in low-income families.
For more information about public benefits for you or your grandchildren, you can contact your local state agency that administers these programs or your local Area Agency on Aging. Your local Area Agency on Aging can assist you in finding additional local resources, as well as help applying for many of the benefits discussed here.
