Dependent Care FSA Calculator 2026 vs Child Care Credit

Compare a 2026 dependent care FSA of 7,500 with the child and dependent care credit of up to 50% and see which saves more on daycare and after-school care.

Filing status

AGI (household)

Children or dependents in care

Care costs per year (daycare, after-school, day camp)

Lower earned income of the two spouses (optional)

Dependent care FSA (empty = maximum)

Federal income tax before credits (optional)

Federal tax bracket (%)

State income tax (%)

Through payroll (also saves the 7.65% FICA)

—FSA tax saving

—Credit on top of the FSA

—Total with the FSA

—Credit without the FSA

—Your credit rate

Care must let you (and your spouse) work or look for work, for children under 13 or a dependent who cannot care for themselves. The credit is not refundable: it cannot be more than your income tax.

What it does

There are two tax breaks for child care, and the same dollars cannot be used for both. A dependent care FSA takes care money from your paycheck before income tax and FICA, up to 7,500 from 2026. The child and dependent care credit is a percentage of up to 3,000 of expenses for one person or 6,000 for two or more, minus what the FSA covered. The calculator compares both choices.

How to use it

Choose your filing status and type your AGI and how many children or dependents are in care.
Type the care costs per year and, if married, the lower of the two earned incomes.
Type your tax rates and see which choice saves more.

The arithmetic runs in your browser. Nothing you type is sent anywhere and nothing is stored, so you can use these with real numbers.

Frequently asked questions

What is the dependent care FSA limit for 2026?
7,500 per household (3,750 married filing separately), up from 5,000, under the 2025 law. It cannot be more than the earned income of the lower-earning spouse.

Is a dependent care FSA better than the child care credit?
Married with 100,000 and 2 children in 12,000 of daycare: the 7,500 FSA saves 2,598.75 at 34.65%, against 2,100 from the credit at 35%. The FSA uses up the 6,000 of expenses the credit could count.

How much is the child and dependent care credit in 2026?
50% of the expenses, dropping 1 point for each 2,000 of AGI above 15,000 down to 35%, and then down to 20% above 75,000 (150,000 joint). Head of household with 30,000 and 1 child: 42%, or 1,260, more than the FSA would save.

👶 Child Tax Credit Calculator 2026
🩹 FSA Calculator 2026: Health Flexible Spending Account
🩺 HSA Calculator: Contribution Limits and Tax Savings
🧾 Paycheck Calculator