Eating enough, helping to get dressed, accompanying someone to the doctor, taking over shopping – if you care for relatives or friends in need, you have a lot on your plate. When worries about loved ones are compounded by financial difficulties, things become truly challenging. That’s why the IW (Institute of the German Economy) took a closer look at the financial situation of people in Germany who provide care within a private framework.
This group is far from small, as data from the socio-economic panel shows (graphic):
In 2022, 5.65 million people in Germany provided care – almost half of them, 2.57 million, were between 50 and 65 years old.
[Image of graphic showing who provides care in Germany with download options]
Most private caregivers are women. Among those aged 18 to under 50, there are almost twice as many women providing care (1.07 million) as men.
It’s reasonable to assume that those who care for family members over a longer period often reduce their working hours or leave the workforce altogether. Actually, in 2022, just under 45 percent of all caregivers between the ages of 18 and 65 worked full-time – compared to a good 54 percent of those without care responsibilities.The proportion of part-time employees and those not employed was higher among caregivers.
Against this background, it’s not surprising that there’s a gap between the income of caregivers and non-caregivers:
In 2022, the average gross monthly income of 18 to 49-year-olds providing private care was 3,023 euros – almost 600 euros less than those without care responsibilities.
In the 50 to under 66 age group,the income difference was even larger,at just under 700 euros. This is likely due to the especially significant difference in the proportion of full-time employees between caregivers and non-caregivers over 50. notably, men in this age group who provide care are significantly less likely to be employed than those without care obligations.
A look at needs-weighted household net income shows that people who provide private care have hardly any less money available on average than people in households in which nobody works.