Save up to $500,000 with the Employer-Provided Child Care Credit
When your employees have access to reliable child care, your organization benefits. The Employer-Provided Child Care Credit encourages businesses to invest in child care for their employees by covering up to 40% of qualifying expenses.*
How to Qualify
Any size employer can claim this credit by investing in one of three areas:
- Provide a child care facility. Acquire, construct, rehabilitate, or expand property for employee child care.
- Contract with a child care provider. Partner with facilities like KinderCare to provide child care services for employees and their children.
- Contract for resource and referral services. Provide employees access to child care resources and referral services.
The tax credit takes effect January 1, 2026. Claiming your credit is straightforward—simply complete Form 8882 when you file your taxes.