Stay-at-home moms in 2025 can primarily benefit from the Child Tax Credit (CTC), which is valued at up to $2,200 per qualified child under age 17, with up to $1,700 being refundable. Filing a joint return with a working spouse is necessary to claim this and other potential credits like the EITC.
The credit amount depends on your income, filing status, and number of dependents, and it can be worth up to $8,490 for 2025. Plus, it's fully refundable, so you could get the entire amount back in a refund if you don't owe tax.
April 11, 2025
WASHINGTON – Senator Mike Lee (R-UT) introduced the Fairness for Stay-at-Home Parents Act, which exempts new parents from paying back health insurance premiums to their employers, should they choose not to return to work after maternity or paternity leave.
The Child Tax Credit increases to $2,200 per child, and employers now receive larger incentives for offering child care and paid leave benefits. However, there is still no direct tax break for unpaid caregivers or stay-at-home parents.
What Is The Credit For Caring Act? This caregivers act, officially known as the Credit for Caring Act, is a bill introduced to Congress that would provide up to $5,000 in federal tax credits for eligible caregivers. The bill was introduced in 2024 and reintroduced in 2025.
Eligibility Requirements for Caregiver Tax Credits
The dependent's gross adjusted annual income must not exceed $4,400. You must provide at least 50% of the dependent's living expenses. The dependent must be a legal U.S. citizen, national, or resident alien.
A recent tax law ("One Big Beautiful Bill") introduced a new $6,000 bonus deduction for Americans aged 65 and older, available for tax years 2025-2028, reducing taxable income, not the tax itself, with income phase-outs starting at $75,000 MAGI for singles and $150,000 for joint filers. This deduction adds to existing standard deductions, provides up to $12,000 for couples, and requires a Social Security number and filing status other than Married Filing Separately.
Yes, the government can help stay-at-home moms. These help low-income individuals and families meet basic needs, like food and housing. For stay-at-home moms, eligibility doesn't depend on whether they're employed. It focuses on household income, family size, and specific needs.
Step 1: Fill out IRS form 4547
Tax Credits for Stay-at-Home Parents
The Child Tax Credit (CTC) provides significant relief for parents. For the 2024 tax year, eligible families can receive up to $2,000 per qualifying child under 17. The credit is partially refundable, meaning you can still receive part of it even if your tax liability is zero.
How can a stay-at-home mom still get income? Earn money from home through online platforms offering freelance work, customer support, or digital product sales. Many moms find success with side hustles like social media management, online courses, or selling thrifted or handmade goods.
File a new W-4 form with your employer to claim additional tax credits that you are eligible for. For a new parent with one child, the Child Tax Credit can reduce your taxes by up to $2,200 per year or about $183 a month ($2,200 ÷ 12 months).
For homeschooling parents, this means that you can claim the CTC for your child if they meet the age requirements, reducing your overall tax bill. For 2025, the credit is worth up to $2,000 per qualifying child, depending on your income level.
For 2025, this credit can reduce the cost of childcare expenses from hiring a nanny and can be worth as much as 20% to 35% of up to $3,000 of childcare or similar costs for a child under 13, or up to $6,000 for two or more dependents.
FOSTER CITY, Calif. --(BUSINESS WIRE)--Insure.com, a trusted source for expert insurance insights, has released its 15th annual Mother's Day Index, which finds that the unpaid work mothers typically perform at home would command an annual salary of $145,235 — a 4% increase from last year.
The account features a pilot program contribution of $1,000 for children born between Jan. 1, 2025, and Dec. 31, 2028, and who are U.S. citizens with a valid Social Security number. Learn more about Trump Accounts and how they work.
Starting July 15 and continuing through December 2021, the new federal Child Tax Credit in the American Rescue Plan Act provides monthly benefits up to $250 per child between ages 6-17 and $300 per child under age 6.
To claim an account, parents probably will have to check a box on a tax form testifying that they are new parents, said Williams of the Retirement Clearinghouse. The new law requires that Trump Account funds be invested in low-cost stock index funds, which mirror the performance of an index such as the S&P 500.
May 8, 2025. Washington, D.C. - Congresswoman Michelle Fischbach (MN-07) reintroduced the More Opportunities for Moms to Succeed (MOMS) Act, which will provide critical support to new moms during and after their pregnancy, empower women to choose life, and help them to raise happy, healthy babies.
You must be aged 65 and above in 2025; The AV of your home (as indicated on your NRIC) as at 31 December 2024 must not exceed $31,000; and. You must not own more than one property.
The Department of Community Services and Development encourages Californians earning under $31,950 a year to file their taxes to claim the California Earned Income Tax Credit (CalEITC), a cash-back tax credit, and receive a larger tax refund.