Unpaid Household Labor Valued in Trillions, Study Finds

A new report from the U.S. Government Accountability Office (GAO) has shed light on the immense economic contribution of unpaid household work, revealing that such labor, encompassing domestic chores and caregiving, holds an estimated market value of at least $5.6 trillion annually. This figure, derived from analysis of American Time Use Survey (ATUS) data from 2021 to 2024, underscores the significant economic activity that occurs outside formal market transactions and is therefore not typically included in Gross Domestic Product (GDP) calculations. The GAO’s findings suggest that incorporating the value of unpaid household work can provide a more comprehensive understanding of the nation’s economic output, as demonstrated by the observation that the economic contraction during the COVID-19 recession was less pronounced when this work was considered.

The study indicates that the majority of individuals dedicate a substantial portion of their day to these unpaid tasks. On average, 87.3 percent of people spent nearly four hours daily on activities such as cooking, cleaning, and caring for family members. The national market value of this work in 2024 was estimated to be between $5.6 and $6.0 trillion, representing a considerable 19.2 to 20.2 percent of the year’s GDP. This substantial economic valuation is further broken down, with domestic tasks accounting for an estimated $4.3 to $4.4 trillion (14.7 to 15.1 percent of GDP) and caregiving for adults or children as a primary activity contributing an additional $1.1 to $1.4 trillion (3.9 to 4.9 percent of GDP). It is important to note that these figures do not include secondary child care, which involves supervising children while engaged in other activities; including this would further increase the estimated value.

Further analysis of the data from 2021 to 2024 revealed demographic patterns in the performance of unpaid household work. Women constituted a larger proportion of those engaged in this labor, making up approximately 53.9 percent of individuals performing unpaid household tasks, while accounting for 51.2 percent of the U.S. population. The study also found that women and married individuals dedicated more time to child care compared to men and unmarried individuals, respectively. Conversely, the time spent on adult caregiving was found to be similar between men and women, as well as between married and unmarried individuals. The GAO’s research suggests that understanding the monetary value and time commitment associated with unpaid household work can offer valuable insights for policymakers, particularly in developing support for caregivers and enhancing their financial security, especially in retirement. The methodology involved reviewing existing studies with robust research designs and consulting with economists specializing in the valuation of such work. For estimations, the GAO utilized nationally representative data from the ATUS and calculated monetary values by multiplying reported hours by median hourly wages from the Current Population Survey (CPS).

Article by Mel Anara, based upon information from the U.S. Government Accountability Office.

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