Dependent care benefits expanded

October 2, 2025

The Big Beautiful Bill includes two important changes that will benefit many families with children or dependent care expenses:

  • Child & Dependent Care Credit: Permanently increased to 50% of eligible expenses (phasing down above $15,000 AGI)
  • Dependent Care Assistance Exclusion: Increased from $5,000 to $7,500

This means families may now receive more significant relief for childcare, after-school care, summer programs, or elder care costs.

We’ll review these provisions during your next planning session and make sure your benefits and filing approach are structured to maximize your savings.

If your childcare or dependent care expenses have changed recently, lets talk about it.

If you have any questions, please feel free to reach out to our team!

>> Schedule a strategy session today

Woodbury Finance and Accounting, LLC has achieved positive results for its clients, but the successes of our top clients are not typical. Because past performance is not a predictor of future success, you may have more or less success depending on many factors, including your background, experience, work ethic, client base, and market forces. Additionally, at times we may discuss the law or new and pending legislation. Please know our understanding of it is constantly changing, and you cannot and should not rely upon these communications for legal, financial, or accounting advice. For the latest updates,

© 2025 Woodbury Finance and Accounting, LLC. All Rights Reserved. Protected by copyright laws of the United States and treaties. This email may only be used pursuant to our Terms & Use Agreement and Privacy Policy. Any reproduction, copying, or redistribution, (electronic or otherwise) in whole or in part, is strictly prohibited without the express written permission of 3450 N. Triumph Blvd or by email at [email protected].