Employee Childcare Benefit Estimator · 2026
NY residents only
NY residents only
How much will my employer-paid childcare cost me in additional taxes or reduction in tax return refund?
If both parents work, you can choose to take up to $7,500, per family, of this benefit tax-free each year. But being eligible doesn’t always mean it’s the better deal — sometimes claiming the childcare tax credit when you file your taxes puts more money back in your pocket instead. You can only pick one, not both, so we’ll show you which leaves you with more.
Should I take $7,500 of it tax-free?
Enter your household income and composition below, and we’ll answer both of these questions for you.
We assume at least the maximum counted under the credit rules is paid — $3,000 per child, up to $6,000 total.
Yechiel Steinberg, CPA
Calculator built & verified by a licensed CPA · 2 decades of experience
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Additional taxes this benefit will cost you
$0
in new income, Social Security & Medicare tax
Tax refund before childcare benefit$0
Tax refund after childcare benefit$0
Additional Social Security & Medicare tax$0
Net cost of benefit to employee$0
Gross benefit to employee$0
Net benefit to employee$0
Detailed breakdown
Line itemBefore BenefitsWith Benefits
Planning estimate only — not tax advice. Uses published 2026 federal, NYS, and NYC rates. Assumes all income is earned wages, work-related care, valid SSNs, full-year NYC residency, and no other income or deductions. Confirm on your actual return.
© 2026 Perquity Inc. · For planning purposes only.