CHILD Act of 2025
Sponsored By: Representative Bice, Stephanie I. [R-OK-5]
Introduced
Summary
Doubles the pre-tax dependent care FSA cap to $10,000 and ties future increases to inflation. The bill would raise the current $5,000 limit (and $2,500 for married taxpayers filing separately) to $10,000 ($5,000 for married taxpayers filing separately) and add an annual cost-of-living adjustment based on the consumer price index, using 2023 as the base year and rounding increases to the nearest $50. The changes apply to calendar years beginning after December 31, 2024, and the bill also removes an obsolete subsection of the tax code.
Personalized for You
How does this bill affect your finances?
Personalize government policy and PRIA will tell you what this bill means for your household, plus every other piece of legislation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.
Bill Overview
Analyzed Economic Effects
1 provisions identified: 1 benefits, 0 costs, 0 mixed.
Bigger tax break for dependent care
This bill would raise the pre-tax limit for employer dependent care benefits. The annual limit would increase to $10,000, or $5,000 if you are married filing separately. If enacted, this would apply to calendar years starting after December 31, 2024. The limits would rise each year with inflation, and each increase would be rounded to the nearest $50. Workers using a dependent care flexible spending account (FSA) or similar employer plan would be able to set aside more pre-tax money.
Sponsors & CoSponsors
Sponsor
Bice, Stephanie I. [R-OK-5]
OK • R
Cosponsors
Rep. Sánchez, Linda T. [D-CA-38]
CA • D
Sponsored 1/15/2025
Feenstra
IA • R
Sponsored 1/15/2025
Rep. Houlahan, Chrissy [D-PA-6]
PA • D
Sponsored 1/15/2025
Rep. Moolenaar, John R. [R-MI-2]
MI • R
Sponsored 1/15/2025
Rep. Nunn, Zachary [R-IA-3]
IA • R
Sponsored 1/15/2025
Rep. Torres, Ritchie [D-NY-15]
NY • D
Sponsored 1/15/2025
Rep. Magaziner, Seth [D-RI-2]
RI • D
Sponsored 1/15/2025
Rep. McDonald Rivet, Kristen [D-MI-8]
MI • D
Sponsored 2/12/2025
Van Drew
NJ • R
Sponsored 5/14/2025
Roll Call Votes
No roll call votes available for this bill.
View on Congress.gov