Support for Grandparents Raising Grandchildren

A growing number of grandparents are taking on an unexpected new challenge in their later years: raising their grandchildren. Grandparents are often raising their grandchildren after tragic circumstances, such as the death or incarceration of their children. With more responsibility, grandparents also have more financial burdens. They can find financial help and support as they are raising their grandkids.

Grandparents are likely to encounter many financial challenges when raising grandchildren. Especially for grandparents who do not have a significant disposable income, supporting others can be costly. Many older adults already live on a fixed income of Social Security checks and pensions. Others have limited retirement savings or get by on a lower income.

Some older adults may not be actively driving due to health-related concerns to take their grandchildren to school or other places, while some need to change their auto insurance policy to help save some money.

Many resources can help grandparents who are raising their grandkids. Several federal, state and local programs provide financial assistance, insurance or benefits.

• Medicare: Medicare is a health insurance program for seniors who are 65 and older. For those who qualify, it can lower medical costs.
• Medicaid: Medicaid provides health coverage to over 72.5 million Americans. Low-income families, qualified pregnant women and children, and individuals receiving Supplemental Security Income (SSI) qualify to participate.
• Social Security Survivor Benefits: A grandparent who is raising a grandchild after their own child is deceased may be able to collect social security survivor benefits. A grandchild may receive benefits if they’re 16 or younger.
• Social Security Disability Insurance (SSDI): Social Security Disability Insurance provides financial assistance to disabled grandparents raising grandchildren. You can apply through the U.S. Social Security Administration.
• Temporary Assistance for Needy Families (TANF): The Temporary Assistance for Needy Families program provides families with financial assistance and related support services. Programs may help with childcare and work.
• Supplemental Nutrition Assistance Program (SNAP): SNAP is a federal program that enables low-income families to buy food for the month.
• Women, Infants and Children (WIC): WIC helps women, children and infants to secure food. Applicants must be income-eligible.
• Section 8 Housing Choice Voucher Program: Housing assistance enables participants to find housing, including single-family homes, townhouses and apartments. Low-income grandparents raising grandchildren qualify.

• Child Care Assistance Program (CCAP): Working grandparents who need help with childcare can apply for this program through their local Department of Human Services office. The program offers equal access to school services.
• Children’s Health Insurance Program (CHIP): Grandparents who earn too much to qualify for Medicaid can enter into CHIP. The health insurance program provides low-cost health coverage, and in some states, covers pregnant women.
• Guardianship Subsidies: Subsidies can help grandparents with grandchildren who exit the child welfare system. Programs are available in 35 states and the District of Columbia.
• Kinship Foster Care: Kinship foster care is an out-of-home arrangement that enables relatives like grandparents to care for their grandchildren.

Local government offices can provide more information about services. Housing assistance programs can help grandparents find and afford stable housing, while utility assistance programs, such as the Low Income Home Energy Assistance Program (LIHEAP), can help low-income households with heating and cooling costs, bill payments and energy-related home repairs.

Click or tap on the states in the interactive map below to find local support organizations and programs, food assistance and health-related assistance services. You can also use the arrows to locate your state.

Sources: Grandfamilies.org and AARP Foundation

There are many other sources of assistance for grandparents who are raising grandchildren. If grandparents are homeowners, they can apply for state property tax assistance. The Lifeline program offers discounts for the monthly cost of phone and internet. A state’s Department of Aging can also provide information about available services.

Caregiver assistance can help grandparents who are raising grandchildren. Non-parent caregiver grants are also offered in some states. Children are eligible regardless of the income of the adult non-parent caregivers.

Support groups can also help with connecting and learning from others with the same experience. Local places of worship and schools may have weekly food giveaways or other programs to assist grandparents. Charities may give help to seniors raising grandchildren. Grandparents can also find online groups such as GardenWeb to connect with others. Below are a few more support goups.

• Dailystrength.org: This online group offers support for grandparents who are raising grandchildren.
• Grandparents and Kin: Grandparents and Kin is a support group for grandparents who are the primary caregivers for their grandchildren in Georgia.
• Grandparentingblog.com: With posts from experts, the Grandparenting blog offers support for grandparents caring for their grandchildren.

Food banks assist with nutrition. Many local food centers offer free nutritious meals to assist low-income families and anyone in need. Many offer food on specific days, so grandparents may have to call beforehand to know when to visit.

Advocacy organizations such as GrandFamilies and AARP can help grandparents find additional resources which address childcare issues.

In addition to financial resources, tax benefits can help grandparents who are raising grandchildren. Many credits are particularly beneficial for grandparents in low-income situations.

Grandparents can claim grandchildren on their taxes but must meet some requirements first. For starters, grandparents must determine if they can claim their grandchildren as dependents. Below are some additional rules:

• The grandparent’s grandchild must be the birth, foster, or stepchild of their own child.
• The grandchild must be under 19. If they are older than 19, they must be disabled.
• The grandchild cannot file their own tax return.
• A grandchild must have lived with their grandparents for at least six months.
• A grandparent cannot be claimed as a dependent by another relative.

• Dependency Exemption: A dependency exemption is an income that isn’t taxed for each of a grandparent’s dependents. The maximum deduction amount is $1,110, on average, if a grandchild is a dependent.
• Earned Income Tax Credit (EITC): The EITC is a tax credit for low or moderate-income grandparents raising grandchildren. Depending on a grandparent’s adjusted gross income, taxpayers can receive at least $3,618 per dependent child. In order to receive the EITC, a grandchild must be under 19. If a grandchild is disabled, there is no age limit to claim the earned income tax credit.
• Child Tax Credit: The child tax credit is a credit given to grandparents for each dependent grandchild. Because of the recent American Rescue Plan, the child tax credit has been increased to $3,000 for children 17 and under. The tax credit increases even more to $3,600 if a grandparent’s dependent grandchild is six or younger.
• American Opportunity Tax Credit: The American Opportunity Tax Credit helps grandparents with grandchildren who are attending college. The credit reimburses grandparents for covering students’ first four years of college expenses. A grandparent’s income must be $80,000 or less to qualify for the credit. Grandparents can claim up to $2,500 per student.
• Lifetime Learning Tax Credit: In addition to the American Opportunity Tax Credit, the Lifetime Learning credit can help grandparents recoup education expenses. However, this credit can’t be combined with the American Opportunity Tax Credit. The Lifetime Learning Tax Credit is for students enrolled in a college. The credit can lower debts by up to $2,000 but can’t be issued to grandparents or grandchild students as a refund.
• Adoption Tax Credit: When grandparents formally adopt their grandchildren, they can get an adoption tax credit. The credit for each child is $14,440 if a grandparent’s adoption expenses exceed that amount. The adoption tax credit is given if a grandparent pays adoption expenses on their own. The credit is used to pay down IRS debt but can’t be issued as a refund.

In addition to financial challenges, many emotional issues arise as grandparents raise grandchildren. Grandparents must become parents for a second time under new circumstances. Grandchildren may take time to adjust to significant life changes. These are some of the challenges grandparents face as they take on a guardianship role:

Legal issues must be addressed if a parent relinquishes custody of their child. From temporary custody to formal adoption, there are several options.

Grandparents can become legal guardians in a variety of ways. In some situations, grandparents can also obtain custody without having to consult a lawyer at all.

There are subtle differences between guardianship and custody. Custody focuses on where a child lives and how a child is raised. Guardianship concerns a grandparent making legal decisions for a child.

Grandparents can also get custody of their grandchildren for a shorter period of time than guardianship. A guardianship can be less flexible than having custody. While every case is different, it may take grandparents between two weeks and two months to obtain guardianship of a child once proceedings have begun.

A grandparent can file to obtain support from their children if they’re raising their grandchildren. Grandparents can get child support under certain conditions, such as a court order. If a grandparent has a low income, application fees to obtain child support from a parent may also be waived.

Subsidized guardianship programs can compensate some grandparents for caring for grandchildren. The payments vary by state but are usually available to grandparents who are guardians of children who have been in foster care.

Grandparents who legally adopt take on total responsibility for the care of a child. Therefore, they are not eligible for child support if their children have severed their parental rights.

While there are many challenges for grandparents raising grandchildren, many resources can help provide support.

• AARP: The American Association of Retired Persons is an organization that helps seniors find information on services and programs. Members can receive discounts on certain services.
• Grandfamilies.org: Grandfamilies offers a list of legal resources for grandparents. Information on state laws can help inform seniors on how to care for their grandchildren.
• Catholic Charities: Catholic Charities is a nonprofit charity network that helps grandparents with food, housing and other issues. The organization helps grandparents regardless of their faith.
• Brookdale Foundation's Relatives as Parents Program (RAPP): The foundation runs the RAPP to encourage and promote the creation or expansion of services for grandparents and others who become surrogate parents.
• Zerotothree.org: This resource helps ensure that babies and toddlers establish early connections that are critical to their well-being and development.
• Generations United: This organization takes a multi-generational approach to improving lives through programs, policies and strategies.
• The National Committee of Grandparents for Children's Rights: The committee offers legal help to grandparents who support grandchildren.
• American Bar Association Center on Children and the Law: The association offers legal assistance to grandparents trying to gain custody of their grandchildren as a kinship guardian.