Study puts 2026 US dementia cost at $818 billion

City News Service
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LOS ANGELES (CNS) - Dementia is expected to cost the United States an estimated $818 billion in 2026, with much of the burden falling on people living with the condition and family members who provide their care, according to a USC-led study released Wednesday.

The study, published in Alzheimer's & Dementia: The Journal of the Alzheimer's Association, estimated that 5.7 million Americans are living with dementia this year, including 5.1 million people ages 65 and older.

Researchers found that reduced quality of life for people living with dementia represents the largest share of the cost, totaling $320 billion. Unpaid care provided by family members and friends accounts for an additional $237 billion, while medical and long-term care costs total $222 billion.

According to the study, about 5.2 million people provide 6.8 billion hours of unpaid care annually to family members or friends with dementia.

Researchers also estimated that people with dementia and their caregivers forgo a combined $23 billion in annual earnings.

Medicare and Medicaid cover about 70% of medical and long-term care costs associated with dementia, or roughly $154 billion, while patients and families pay about $46 billion out of pocket, according to the study.

"By providing annual, comprehensive and transparent estimates of dementia's total costs, our research can help guide decisions about how to allocate resources as the dementia population is set to grow substantially," lead researcher Julie Zissimopoulos of the USC Schaeffer Center for Health Policy & Economics said in a statement.

The report was produced as part of the U.S. Cost of Dementia Project, a federally funded effort supported by the National Institute on Aging. Researchers said this year's estimates include new measures of lost earnings and quality-of-life impacts on caregivers.

Officials said the findings could help policymakers, health care providers and researchers evaluate the potential effects of new treatments, care models and other efforts aimed at reducing the impact of dementia on patients and families.