AARP Indiana: Going to Bat on Important Legislative Issues
Photo: June Lyle, state director AARP Indiana, photo courtesy of AARP Indiana
January 9, 2013
INDIANAPOLIS - A state income tax credit for people who care for ailing relatives in their homes is one of several legislative initiatives being supported by AARP Indiana.
In 2009, says June Lyle, AARP state director, 1.3 million Hoosiers provided unpaid care in their homes at a value of $9.4 billion.
"So, if you're taking care of Dad at home or you're taking care of Mom at home, and your income is under $110,000 per year, you would be eligible for a $5,000 state income tax credit."
Lyle says that legislation is being drafted, as is a proposal to create a state-managed retirement savings plan for working Hoosiers who don't have access to a 401(k) or retirement plan. Other states have looked at piggybacking a "state K" retirement savings plan onto their public employee retirement fund, she says.
"They wouldn't comingle the funds, but they could sort of manage it the same way they manage those funds, so you would have some real economies of scale by doing it that way. You already have that infrastructure put together."
Another option, Lyle says, would be that the state could contract with a financial-services entity to oversee the "state K" savings.
Funding for the CHOICE program - home and community-based options to institutional care for the elderly and disabled - is a big priority for AARP, Lyle says.
"We know that most people want to be able to receive care at home and we also know that it's cheaper - so it costs taxpayers less - so we'll be fighting to make sure those programs are adequately funded."