A child tax credit is intended for people who are financially supporting—you guessed it—a child. For 2025, the credit is worth up to $2,200 ($1,700 refundable) per child.
To qualify, a child must be under age 17 at the end of the year; have a Social Security number; be your child, stepchild, foster child, sibling, or descendant; live with you for more than half of the year; be claimed as your dependent; and pay for no more than half of their own expenses. You’ll also have to satisfy income requirements.
Separate from the child tax credit, this credit is available for taxpayers who paid care expenses for another person (a dependent) while they worked or looked for work. To qualify for this credit, your dependent must be under age 13, or someone (typically a spouse or parent) who lives with you at least half the year and is unable to care for themselves.
The child and dependent care credit covers 20% to 35% of your work-related expenses, depending on your income, up to a maximum of $3000 for one person ($6000 for two or more people).
The earned income tax credit (EITC) is for workers with low to moderate incomes. To qualify, you must have a Social Security number, be a U.S. citizen or resident alien, have earned income below IRS limits, not file foreign income, and have investment income under $11,600 (2024).
The amount depends on how many qualifying children you have. For 2024, the maximum EITC is $632 with no kids, $4,213 with one, $6,960 with two, and $7,830 with three or more. For 2025, these rise to $649, $4,328, $7,152, and $8,046.
If you claim the EITC or the additional child tax credit, the IRS must hold your refund until at least mid-February.
If your family needs help with tuition, there are state and local agencies to provide tuition subsidies. This map is a great starting point for finding the financial assistance resources available.
More and more employers add childcare benefits to their employee compensation packages because it’s hard to do your job without reliable childcare!
Talk with your employer or your HR department about whether they offer childcare benefits and how to use them.
18 Months - 2 Years
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