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Increased Tax Breaks for Child and Senior Care Assistance

This bill aims to increase the amount of money employers can offer employees for child or senior care assistance that is exempt from taxes. This means families using such programs could save more money as a smaller portion of their income would be taxed. These changes will take effect from 2024 and will be adjusted for inflation.
Key points
Increases the tax-exempt amount for employer-provided dependent care assistance.
The amount will be adjusted annually for inflation to maintain its real value.
Changes apply to tax years beginning after December 31, 2023, leading to more savings for families.
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Additional Information
Family Savings for Kids and Seniors Act
Print number: HR 5036
Sponsor: Rep. Porter, Katie [D-CA-47]
Process start date: 2023-07-27