Tax-Based Assistance
Save money at tax time through available credits and employer benefits for families with child care expenses.
For Families
Pay for Child Care
High-quality child care is expensive because it requires trained teachers, safe environments and enriching materials. Fortunately, several programs and financial supports can help families afford care.
Ways to Get Help
Tax-Based Assistance
Tax Credits
Parents who have child care expenses and pay federal and/or state income taxes may be eligible to receive assistance through the federal and state Child and Dependent Care Tax Credits, the Child Tax Credit for families with children, and the Earned Income Tax Credit for low-income families.
Employer Assistance and FSAs
Some employers offer child care tuition assistance or Flexible Spending Accounts as part of their benefits package. A Flexible Spending Account (FSA) is an agreement where your employer sets aside the amount you pay for child care before calculating deductions from your paycheck. Therefore, that portion of your income is not taxed. After paying your child care bills, you submit a claim to your FSA administrator, who reimburses you with your own pre-tax dollars. Employers may also allow you to apply pre-tax benefit dollars directly to your child care expenses, or have arrangements for discounted rates with partnering child care programs. Ask your employer if they offer any support for child care expenses.
State and Local Programs
Child Care Subsidy Assistance
Many families in North Carolina may qualify for child care assistance to help cover the cost of care. These programs are managed by your local County Department of Social Services (DSS) and funded by the state of North Carolina and federal government.
You may qualify if you:
- Work or attend school
- Are in a crisis situation
- Have a child with special needs
What to know:
There may be a waiting list, and eligibility depends on income and family situation.
Contact your local DSS office
To find out if your family meets the income eligibility requirements, visit the state’s website or contact your local DSS office.
Featured
NC Pre-K
The NC Pre-K program is designed to provide at-risk four-year-old children with an opportunity for a quality preschool education. This state-funded, part-day program provides young children with access to a specific curriculum and preschool experience to enhance their school readiness.
Top priorities for enrollment are children who have not had a previous child care experience; those who are from low-income families that are eligible for Head Start or free and reduced school-lunches; children with special needs; or Spanish-speaking children. NC Pre-K slots exist in various locations throughout every county in North Carolina.
For information on the organizations in charge of the NC Pre-K application process for the nine counties in Alamance, Caswell, Durham, Franklin, Granville, Orange, Person, Vance and Wake Counties, please call Child Care Referral Central at 855-EARLY-ED (855-327-5933).
Head Start and Early Head Start
Head Start and Early Head Start are federally funded programs for families earning below the federal poverty level. Eligible families receive free child care plus medical, dental, nutritional, and mental health services.
- Head Start serves children ages 3–4.
- Early Head Start serves infants and toddlers up to age 2, with priority for teen parents.
Neither program provides full-time care. Families needing coverage for the rest of the day can apply for child care subsidy or scholarship assistance through their county Department of Social Services or Early Years.
For locations in Alamance, Caswell, Durham, Franklin, Granville, Orange, Person, Vance or Wake counties, call 855-EARLY-ED (855-327-5933).
Program Discounts & Sliding Fees
Some child care centers and family homes offer their own financial assistance, such as multi-child or referral discounts, fee waivers, short-term scholarships, or sliding fee scales based on family income.
Child Care Referral Central can share which programs provide this support, but it is always worth asking your provider directly since many are willing to help in individual or emergency situations even without a formal program.
Early Years Assistance Programs
Durham PreK
High-quality, equitable pre-K for every 4-year-old in Durham County.
Child Care Scholarship Program
We help families in Durham County and Orange County access affordable, high-quality child care through locally funded scholarships.
