Caregiver Programs in Vermont: Paid, Respite & Support (2026)

Vermont funds in-home care through Choices for Care, the state Medicaid long-term-care program, and its self-directed option can pay a family member to provide that care.1

If you are caring for an aging parent, a partner, or an adult child with a disability in Vermont, the hard part is rarely whether help exists. It is knowing what is there and where to start. This guide maps every major caregiver program in the state for 2026: who qualifies, what it pays, and the first call to make.

You do not have to figure this out alone, and you do not have to fund all of it from your own savings.

Vermont Caregiver Programs at a Glance

Which Vermont Programs Pay Family Caregivers?

For many families, this is the real question: can the person already doing the caregiving get paid for it? In Vermont, the answer is often yes, and it runs mostly through one program.

Vermont's Choices for Care is a Medicaid long-term-care program administered by the Department of Disabilities, Aging and Independent Living (DAIL) under the state's Medicaid agency, the Department of Vermont Health Access (DVHA). It serves older adults and adults with physical disabilities who are assessed to need a nursing-home level of care but want to remain in their own home or a community setting. Choices for Care includes a self-directed option in which the participant can hire and direct their own personal care worker, who may be a family member.1

Because Choices for Care is Medicaid, your loved one has to meet Vermont's Medicaid long-term-care financial rules, and this is where families often get anxious. Vermont applies a 60-month (five-year) look-back period on asset transfers when it evaluates long-term-care eligibility, so gifts or transfers made in the years before applying can affect the outcome. Whether a spouse specifically can be the paid worker should be confirmed with DAIL through the Vermont Helpline at 1-800-642-5119.1

For the full side-by-side of who can be paid, the VA options, and a private caregiver agreement, see How to Get Paid as a Family Caregiver in Vermont.

How to Start a Choices for Care Application

Where Can You Find Free Respite in Vermont?

Every caregiver needs to step away sometimes, and needing a break does not make you any less devoted. Vermont funds respite through more than one door, and one of them does not require Medicaid at all.

The National Family Caregiver Support Program (NFCSP), funded by Title III-E of the Older Americans Act, flows through Vermont's Area Agencies on Aging. Services include in-home respite, adult day vouchers, caregiver training, and counseling, with no income test for respite services. Call 1-800-642-5119 (the Vermont Helpline) to reach your regional agency, or dial 211.1

Medicaid programs and waivers, including Choices for Care, can also authorize respite within the care plan. For the full breakdown, see Respite Care in Vermont.

Where to Get Help in Vermont

When you are ready to make calls, these are the front doors. Every one of them is free.

VA Caregiver Benefits in Vermont

If your loved one served, do not skip this section. Veterans' benefits often pay as well as or better than Medicaid, and they are the one place a spouse can reliably be paid.

VA Program of Comprehensive Assistance for Family Caregivers (PCAFC)

The PCAFC pays a monthly stipend to the Primary Family Caregiver of an eligible veteran. It is calculated from the federal General Schedule GS-4, Step 1 annual rate for the veteran's locality, divided by 12, then multiplied by a level factor. The stipend is federal tax-free and can pay a spouse. To qualify, the veteran needs a service-connected disability rating of 70 percent or higher, a need for in-person personal care for at least six continuous months, and enrollment in VA health care.2

VA Aid and Attendance (A&A) Pension

Wartime veterans and surviving spouses who meet the functional criteria and fall under the net-worth limit ($163,699 in 2026) may receive the Aid and Attendance (A&A) pension. A single veteran with A&A receives up to $2,424 a month ($29,093 a year); a veteran with one dependent up to $2,874 a month. The pension goes to the veteran, who often pays a family caregiver from it.3

The Vermont Office of Veterans Affairs and county Veterans Service Officers help file at no cost, so there is no reason to pay a for-profit consultant.

Will You Owe Taxes on Caregiver Pay in Vermont?

Getting paid to care for someone you love raises a practical worry: will a tax bill eat into it? Here is the short version, though a tax preparer familiar with caregiver pay is worth a call before you file.

IRS Notice 2014-7 (Federal Exclusion)

If you live in the same home as the person you care for and are paid through a Medicaid program, your wages may be excluded from federal gross income under an IRS rule, Notice 2014-7. The exclusion applies when the caregiver and the care recipient share the same home as the caregiver's primary residence; it does not apply if you keep a separate home where you regularly live. This can apply to many Vermont self-directed caregiving arrangements, so it is worth raising with your preparer.4

Vermont State Income Tax

Vermont's state income tax treatment of caregiver wages varies with your situation. Confirm the current rules, and how they apply to Medicaid waiver payments, with Vermont's Department of Taxes or a tax preparer.

The PCAFC Stipend

The PCAFC monthly stipend is federal tax-free and is not reported on a W-2.

Learn More

Find personalized help navigating Vermont caregiver programs at brevy.com.

The information on Brevy.com is for educational purposes only and is not a substitute for professional legal, financial, or medical advice. Rules vary by state and program and change frequently. Always verify with the relevant agency or a qualified professional. Brevy is not a law firm, financial advisor, or healthcare provider.