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Paying for Child Care Paying for good child care can be a struggle. In fact, child care is probably
the second largest expense in your budget after rent or mortgage. The average
cost of child care in Hawaii is $400 per month. This cost can vary depending on
the age of the child, location, and type of care desired.
Think about what your family needs, and take a close look at your budget.
What should you do?
By planning ahead, getting the facts, and using all of the resources available to help you, you are off to a good start in making the best choice for your family. Local Subsidy ProgramsPlease contact your local PATCH office and we will refer you to the appropriate contact for information on child care subsidies supported by the State Department of Human Services. (Please note, PATCH does not administer the State child care subsidy program.)Here is information on other resources for child care assistance:
Tax Credits and Assistance
Find out what tax programs you might be eligible for to assist you with your child care needs. Earned Income Tax Credit (EITC) You may be able to lower your taxes and even get up to several thousand dollars back if you qualify for the EITC. To qualify you must be working full or part-time and make less than a certain amount based upon family size. You don’t have to owe any taxes to get the EITC. Child and Dependent Care Tax Credit If you have a child under 13 and owe federal income taxes, this tax credit can help cover a portion or all of the taxes you owe if you qualify. Dependent Care Assistance Programs Your employer may offer this program which allows you to have money taken out of your paycheck tax-free and put into a special account to be used for child care tuition reimbursement. The main purpose of this type of program is to lower the amount of taxes you have to pay during the year. However, you can’t claim any money you put into this account for the Child and Dependent Care Tax Credit (described above). IRS Volunteer Income Tax Assistance (VITA) The IRS Volunteer Income Tax Assistance (VITA) program helps low-income workers complete their tax forms. For more information on VITA and other tax related questions, call 1-800-829-1040. To get more information call the State of Hawaii’s Dept. of
Taxation on Oahu: 587-4242, Kauai: 247-3456, Hawaii: 974-6321, Maui: 984-8500 or
the IRS at 1-800-829-3676 and request Form #596 Earned Income Credit and Form
#503 Child and Dependent Care Expenses, or ask your tax accountant. You can also
visit the IRS website at www.irs.gov or the State of Hawaii’s Dept. of Taxation website
at www.hawaii.gov/tax.
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DHS Child Care Subsidy NewsThe State Department of Human Services (BESSD) Benefit, Employment and Support Division has modified the structure and decreased the rates of child care subsidies. DHS has secured additional sources of funding to temporarily help families that experience a decrease in their subsidy payment. Child care providers and affected families may contact PATCH for information and assistance. Click here for a link to the Proposed Changes (also attached as a PDF: Childcare Services PDF.) Here are links to articles and information from two local News sources: Honolulu Star Bulletin: Dec. 8, 09: Changes would keep child care subsidies Honolulu Advertiser: Nov. 21, 09: Hawaii may cut back preschool tuition subsidies to families Dec. 4, 09: Families could pay more for child care Local Subsidy Programs |
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