Cost of a childcare space in 2015

 

The calculator enables you to estimate the assistance to which you may be entitled based on certain assumptions intended to reflect the most common situations. The calculator supposes that all children are under age 5, that each child is in childcare 260 days a year and that household income consists solely of work income.

Furthermore, the maximum daily parental contribution is limited to $45 and taxpayer' income is limited to $250 000.

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Refundable tax credit for childcare expenses 
Canada child tax benefit 
Child care expenses deduction 
Working income tax benefit 
GST credit 
Example for a couple with a 1-year-old child

Jennifer and Vincent have a 1-year-old daughter in reduced-contribution childcare. Their annual family income is $100 000. In 2015, given the adjustment of childcare rates according to income, their childcare cost is $11.41 per day. However, taking the Québec and federal tax systems into account, it will cost Jennifer and Vincent $9.09 per day to send their daughter to reduced-contribution childcare.

If they decided to send their daughter to private childcare at the regular rate of $35 per day, their net cost, taking the Québec and federal tax systems into account, would be $9.00 per day, an amount comparable to the cost of a reduced-contribution childcare space.

Jennifer and Vincent may choose to claim the Québec refundable tax credit for childcare expenses and the federal deduction on their income tax return or during the year, as the Québec tax credit can be paid in advance and the federal deduction can be claimed by means of a reduction in source deductions.


Updated April 21, 2015.