Summer Camps and Tax Deductions.
Summer Camps and Tax Deductions: A Guide for Self-Employed Parents in Florida
Summer in Florida means sunny skies, beach days, and for many parents… summer camps! Whether your child is perfecting their backstroke, building a robot, or painting their next masterpiece, camp can be a lifesaver for busy working parents. But here’s a little secret that might make your wallet smile — some summer camp expenses may qualify for a tax break.
As your friendly West Palm Beach accounting team, we’re here to walk you through how self-employed parents can take advantage of these savings while still enjoying that summer freedom. Let’s break it down.
The Child and Dependent Care Credit: Your New Best Friend
The Child and Dependent Care Credit (CDCC) is a valuable tax credit that helps parents offset the cost of care for children under age 13. If you’re a self-employed parent juggling client meetings, project deadlines, and school-free summers, this credit can be especially helpful.
Here’s the gist: to qualify, the care must enable you (and your spouse, if filing jointly) to work or actively look for work. Depending on your income, you could get 20%–35% back on qualifying expenses. That’s not pocket change — that’s potentially hundreds of dollars back in your budget.
What Summer Camps Qualify?
Not all camps make the cut, so let’s clarify:
✅ Day Camps: These generally qualify, whether it’s soccer, science, art, or any other specialty camp, as long as the main purpose is providing care while you work.
❌ Overnight Camps: Sadly, the IRS doesn’t care if you’re working during the day — overnight or “sleepaway” camps aren’t eligible. (We know, we wish they were too.)
How to Claim the Credit
If you’re thinking, “Sign me up!” — here’s what you’ll need to do:
Track Your Payments – Save receipts and statements with your child’s name, camp dates, and the exact amount you paid.
Confirm Eligibility – Make sure the camp is a day program and the expense is directly tied to you being able to work.
Meet the Earned Income Rule – Both spouses must have earned income unless one is a full-time student or unable to care for themselves.
Account for Employer Benefits – If you have a dependent care flexible spending account, subtract those benefits before calculating the CDCC.
You’ll report all of this on IRS Form 2441, so having organized records now will make tax time much smoother.
Special Notes for Parents
Separated or Divorced Parents – Only the custodial parent (the one the child lives with most of the year) can claim the credit.
Care for Other Dependents – The CDCC isn’t just for kids — it can also apply if you’re paying for care for a spouse or dependent who can’t care for themselves.
The Bottom Line
Summer camp might be an investment in your child’s growth and your own sanity — but it can also be a strategic tax move. If you’re self-employed in West Palm Beach (or anywhere in Florida), don’t miss the chance to reduce your tax bill while giving your kids a summer to remember.
Tip from your local accountants: The earlier you plan, the better your chances of maximizing your tax benefits. And yes, we can help with that — so you can spend less time with tax forms and more time enjoying the Florida sunshine.
Atlantic Accounts – West Palm Beach, FL
Helping small business owners and self-employed parents keep more of what they earn, one smart tax strategy at a time.