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WCI #294: Finance For the Whole Family

White Coat Investor Podcast

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Can I Use the Child Tax Credit or an FSA?

It's not entirely clear to me exactly which credit you're talking about. Bear in mind the child tax credit has a phase out on it. If you have one dependent, the maximum you can put in a dependent care FSA is 5,000. So if you spent $8,000 on child care, well, you could pay for 5,000 with the FSA and take $3,000 for the federal tax credit.

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