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Medicaid Options. Of all the programs that pay family members as caregivers, Medicaid is the most common source of payment. Medicaid has eligibility requirements that apply to the program participant and it has rules that dictate who is allowed to provide them with care.

In some states there are programs that pay family members to provide care to those receiving Medicaid (government health insurance for low-income people ? this program may go by a different name in your state). And in a very few states there are programs available to those who do not qualify for Medicaid.

Restrictions do not allow individuals that hold power of attorney (POA) over the recipient of care to be compensated caregivers as well. This also includes legally responsible individuals (such as parents caring for children under the age of 18).

If someone with a disability already receives Medicaid, their state may allow a family member or friend to become a paid caregiver. Many states call this a consumer-directed personal assistance program. Each state has different requirements and rules. Contact your state's Medicaid office for more information.

When elderly individuals cannot take care of themselves, the responsibility falls on the child to take care of them. As said above, Filial Responsibility Laws only exist in 30 states. Each law varies per state. For example, in Arkansas, the child is only responsible for medical bills involving mental health.

Paid Family Leave Acts Currently, 12 states plus the District of Columbia offer paid family leave in order to care for a spouse. These are California, Connecticut, Delaware, Maryland, Massachusetts, Minnesota, New Hampshire, New Jersey, New York, Oregon, Rhode Island, and Washington.