S. 5148Senate118th Congress (2023-2025)In Committee

Improving Retirement Security for Family Caregivers Act of 2024

Introduced September 24, 2024

AI-Generated Summary

Updated January 20, 2026 at 7:17 PM UTC

The Improving Retirement Security for Family Caregivers Act of 2024 changes the tax code so that people who serve as unpaid family caregivers can make Roth IRA contributions. It defines a “qualified family caregiver” as someone who provides at least 500 hours of care in a year and works less than 500 hours in paid employment. The rule applies to tax years starting after December 31, 2024, and affects eligible caregivers’ retirement savings options.

Key Provisions

  • Adds a new paragraph (7) to the Roth IRA contribution rules allowing qualified family caregivers to use the standard contribution limit under section 219.
  • Defines “qualified family caregiver” as an unpaid family member, foster parent, or other unpaid adult who provides in‑home care for a child or a special‑needs adult and meets the 500‑hour care and under‑500‑hour work thresholds.
  • Specifies that the caregiver’s contribution limit equals the regular limit for the taxable year, even if other IRA rules (like spousal IRA limits) would otherwise apply.
  • Effective for taxable years beginning after December 31, 2024.

Legislative Activity

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1 earlier action
SenateIntro Referral Latest Action

Read twice and referred to the Committee on Finance. (text: CR S6371)

September 24, 2024

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SenateIntro Referral

Introduced in Senate

September 24, 2024

SenateIntro Referral

Read twice and referred to the Committee on Finance. (text: CR S6371)

September 24, 2024

Floor Debate

2 members

What members said about S. 5148 on the floor

2 Republicans
Katie Boyd Britt
Sen. Katie Boyd BrittR-AL · Sep 24, 2024

Madam President, it is always an honor to represent my great State, to stand and speak in front of my colleagues and before the American people. But today is particularly special for me as my parents…

Susan M. Collins
Sen. Susan M. CollinsR-ME · Sep 24, 2024

Madam President, I rise today to introduce two bills: the Improving Retirement Security for Family Caregiver Act and the Catching Up Family Caregivers Act. These bills, which I am introducing today…

Bill Text

Latest available legislative text

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Latest
Introduced in SenateIssued September 24, 2024

II

118th CONGRESS

2d Session

S. 5148

IN THE SENATE OF THE UNITED STATES

September 24, 2024

Ms. Collins (for herself and Mr. Warner) introduced the following bill; which was read twice and referred to the Committee on Finance

A BILL

To amend the Internal Revenue Code of 1986 to allow certain family caregivers to contribute to a Roth IRA.

1.

Short title

This Act may be cited as the Improving Retirement Security for Family Caregivers Act of 2024.

2.

Roth IRA contributions for certain family caregivers

(a)

In general

Subsection (c) of section 408A of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:

(7)

Special rule for Roth IRA contributions of qualified family caregivers

(A)

In general

In the case of an individual who is a qualified family caregiver as of the close of the taxable year, in applying section 219 for purposes of paragraph (2), the limitation of paragraph (1) of section 219(b) shall be equal to the dollar amount in effect under section 219(b)(1)(A) for the taxable year.

(B)

Qualified family caregiver

For purposes of this paragraph—

(i)

In general

The term qualified family caregiver means an individual who, during the taxable year—

(I)

has completed 500 or more hours as a family caregiver, and

(II)

has completed fewer than 500 hours of paid employment (including self-employment).

(ii)

Family caregiver

The term family caregiver means an unpaid family member, a foster parent, or another unpaid adult, who is unemployed or severely underemployed (as determined by the Secretary) and who provides in-home care, monitoring, management, supervision, or treatment of—

(I)

a child, or

(II)

an adult with a special need (as defined in section 2901 of the Public Health Service Act), including an elderly adult who requires care or supervision due to an age-related condition.

(iii)

Hours

An individual shall be treated as serving as a family caregiver during the hours in which the individual is engaged in caregiving tasks including assistance with bathing or grooming, dressing, laundry, food shopping or preparation, housekeeping, managing medications, transportation, and mobility assistance.

(C)

Coordination with spousal IRA

In the case of an individual to whom section 219(c)(1) applies for the taxable year, subparagraph (A) shall be applied notwithstanding such section.

.

(b)

Effective date

The amendment made by this section shall apply to taxable years beginning after December 31, 2024.