The saver's tax credit can be worth up to $1,000 per person and $2,000 per couple. To qualify, you need to contribute to a 401(k), IRA or other retirement savings plan and meet the income limits – for 2023, you must have earned less than $73,000 if married filing jointly ($76,500 for 2024), $54,750 if filing as head of household ($57,375 for 2024) or $36,500 if filing single ($38,250 for 2024).
The child and dependent care tax credit can give you a valuable break if you pay for child care while you work.
The maximum credit is 35% of up to $3,000 in child care expenses for one child and up to $6,000 in expenses for two or more (the percentage is lower for higher income levels).
To qualify, you must have children under 13 or other qualifying dependents and pay for their care while you and your spouse work or look for work. The cost of day care, preschool, nanny services, before- and after-school care – and even day camp – count toward the credit.