Employment and financial impact on carers

For primary carers who were/are in paid employment, the demands of caring for a person with dementia may affect their work commitments and arrangements. Changes in employment may then also have an impact on their financial situation. This page focuses on the employment status and financial impact of the caring role on primary carers in 2022, from the Australian Bureau of Statistics Survey of Disability, Ageing and Carers (SDAC).

Primary carers of people with dementia were more likely to be unemployed or not in the labour force (74%) than primary carers of people without dementia in 2022 (51%; Table S6.12). This may be due to the age differences in carers of people with and without dementia; less than 1 in 3 (32%) of primary carers of people with dementia were considered working-age (aged 15 to 64), whereas 3 in 4 (75%) primary carers of people without dementia were considered working age (Table S6.4).

Among primary carers who were employed prior to commencing their caring role, primary carers of people with dementia were:

  • more likely to reduce their weekly work hours (58% compared to 37% of primary carers of people without dementia). This difference was not statistically significant (Table S6.13).
  • just as likely to report a negative financial impact (43% compared to 42% of primary carers of people without dementia; Table S6.14).

Main source of income

Primary carers of people with dementia were significantly less likely to rely on employee income as their main source of income (24%) than primary carers of people without dementia (41%). Instead, primary carers of people with dementia were more likely to rely on government pension or allowances as their main source of income (54%; Table S6.15). See Box 6.1 for more information on government benefits available to eligible informal carers.

Figure 6.8: Primary carers of people with and without dementia in 2022: estimated percentage by main source of income

Figure 6.8 is a bar graph showing the estimated percentage of primary carers of people with dementia and primary carers of people without dementia in 2022 by the main source of income and carers age.  Primary carers of people with dementia were more likely to rely on government benefits as their main source of income than primary carers of people without dementia. Primary carers of people without dementia reported more sources of income than primary carers of people with dementia including those reporting income from rental properties and income from an unincorporated business.

Figure 6.8 is a bar graph showing the estimated percentage of primary carers of people with dementia and primary carers of people without dementia in 2022 by the main source of income and carers age.  Primary carers of people with dementia were more likely to rely on government benefits as their main source of income than primary carers of people without dementia. Primary carers of people without dementia reported more sources of income than primary carers of people with dementia including those reporting income from rental properties and income from an unincorporated business.

Notes:

  1. 'Other income or no income' includes the following responses: 'zero or negative income', 'superannuation pensions and annuities', 'other income', and 'not stated'.
  2. Estimates for primary carers of people with dementia with 'other income or no income' has a relative standard error between 25% and 50% and should be interpreted with caution.
  3. Estimates for primary carers of people without dementia with 'unincorporated business income' or 'rental income' have a relative standard error between 25% and 50% and should be interpreted with caution.

Box 6.1: Australian Government benefits available to eligible informal carers

There are a number of government benefits available to eligible Australian residents who provide informal care, where the demands of caring severely restrict or prevent the carer from undertaking substantial paid employment: 

  • Carer Payment is a means-tested income support payment available to informal carers who provide constant care to someone who has a severe disability or medical condition, or an older, frail person. 
  • Carer Allowance is an additional fortnightly payment for people who provide daily care to someone who has either a disability or serious illness, or an older, frail person. It can be paid in addition to wages, or another income support payment.
  • Carer Supplement is an annual automatic payment to recipients of Carer Allowance and Carer Payment, to help cover costs when caring for someone with a disability.

For carers of adult care recipients (aged 16 and over) a medical report completed by a health professional currently treating the person is required to assess eligibility for the Carer Payment and the Carer Allowance. This report is based on the Adult Disability Assessment Tool, designed to measure the level of care required, irrespective of the condition causing the disability. Information is collected on the amount of help required to undertake activities of daily living (such as mobility, communication, hygiene, eating) as well as a range of cognitive and behavioural areas (Services Australia 2023).

Carer payments

According to the SDAC, in 2022, almost 2 in 5 primary carers of people with dementia (38%) received the Carer Payment (Table S6.16).

Among primary carers of people with dementia who were not receiving the Carer Payment, 26% looked into eligibility but did not receive the payment. A further 21% either had not heard of the Carer Payment or did not consider themselves as a carer to apply for this payment, and 14% were either not eligible or the Carer Payment would conflict with another payment type. (Figure 6.9; Table S6.17).

Figure 6.9: Primary carers of people with and without dementia who did not receive the Carer payment in 2022: estimated percentage by reasons why carers were not receiving the Carer Payment

Figure 6.9 is a bar graph showing the estimated percentage of primary carers of people with and without dementia who were not receiving the Carer Payment in 2022 by the main reasons why they were not receiving the Carer Payment. Around one-quarter of primary carers of people with dementia who were not receiving the Carer Payment looked into eligibility for the payment but did not apply for it. Just over one-fifth had not heard of the Carer Payment or did not consider themselves as a carer.

Figure 6.9 is a bar graph showing the estimated percentage of primary carers of people with and without dementia who were not receiving the Carer Payment in 2022 by the main reasons why they were not receiving the Carer Payment. Around one-quarter of primary carers of people with dementia who were not receiving the Carer Payment looked into eligibility for the payment but did not apply for it. Just over one-fifth had not heard of the Carer Payment or did not consider themselves as a carer.

Note:

  1. Estimates for primary carers of people with dementia who 'does not receive the Carer Payment but has looked at eligibility' has a relative standard error between 25% and 50% and should be interpreted with caution.

Services Australia (2023) Payment you can get as a carer, Services Australia, Australian Government, accessed 10 July 2023.

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