Child Care 
Financial Assistance

Look for your family size in the following chart to determine your eligibility. Income level means the total amount of money you make each year before taxes are taken out.

You must include any unearned income such as child support, SSI, Social Security Benefits, etc., in addition to wages (including tips, overtime, bonuses and commissions) in your calculation.

If you reside with a spouse, the second parent or another person who is legally responsible for your child(ren), this income also must be included.

Your family must meet program eligibility criteria (have an approved reason of care) in addition to meeting income eligibility. This could include employment, an approved work activity, approved educational/training program, a teen parent (under age 20) who is attending high school, a foster parent who needs child care due to employment, etc.

The income eligibility standards for Transitional Day Care or Special Needs Child Care families are slightly higher than those in preceding chart.

You will find detailed information regarding program and income eligibility criteria, answers to frequently asked questions and a Child Care Eligibility Wizard where you can check your family’s program and income eligibility.

You also will find the child care application, instructions for completing the application and all of the additional forms you will need to complete your application for a child care subsidy.

Head Start is a national program for low-income infants, toddlers and their families. Long Island’s HEAD Start operates over 20 locations. There are four parts to this program:

Children have a safe, caring and interesting place to learn and grow. All cultures are treated with respect and included in lesson plans.

Families get medical, dental, mental and nutritional health services. They teach families how to prevent health problems.

Parents are encouraged to be involved with the program. They volunteer in the classrooms. They can go to classes to learn parenting skills. Teachers make home visits to work with parents and children.

Social Service teams work to identify the family’s needs and to find agencies to help them with these specific needs.

Child and Dependent Care Tax Credits helps families pay for child care for children under the age of 13 if the parents are working or looking for work.

Parents who are full-time students also can claim the credit. Qualifying care includes Child Care Centers, Family Child Care Homes and child care provided by paid friends or relatives (who are not a dependent of the taxpayer).

The size of the credit depends on the number of children in child care, total family income and the amount paid for child care during the tax year. There are limits on the credit given for one child and two or more children.

To claim the credit, you must file either Form 1040A or Form 1040 federal tax return and attach a separate form for the credit. If you file Form 1040A, use Schedule 2 for the credit. If you file Form 1040, attach Form 2441.

Earned Income Tax Credit (EITC) is a refundable tax credit for low- and moderate-income families, particularly those with children.

The EITC is based on family income and the number of children in the family. Both single- and two-parent families are entitled to the credit as long as one parent is employed.

New York State and 23 other states have state tax programs related to the Child and Dependent Care Credit. Check with your state Department of Revenue for more information about State Tax Credits.

You become an employer under federal law when you hire an in-home caregiver. You need to be aware of the laws regarding taxes, verification of employment eligibility and minimum wage in New York State.

Contact the Department of Labor, the Internal Revenue Service, an accountant, a tax adviser or an insurance agent for information on these topics. You also should check with your insurance agent to see if your homeowners' policy covers workers' compensation insurance for your in-home caregiver.

You should notify your car insurance company if your caregiver will be driving your car and if there are additional fees for adding the nanny on your insurance policy.