Families feel the financial heat over summer

Summer is right around the corner and as much as we try to idealize the season as a time of rest and relaxation, the reality is that for many families, summer can be the most stressful and expensive time of the year.

With the kids out of school for 10 to 12 weeks, we as parents want to ensure that our children remain educated and entertained while they’re out of the classroom. Unfortunately, most families don’t have the ability to take an extended period of time off from work to spend the summer alongside their children.

In two thirds of American families, all available parents are working. That means that most families rely on some combination of summer camps, relatives, nannies, and more to keep their kids engaged and supervised over the summer.

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While a parent taking time off for a family vacation is the most popular option, most vacations don’t last long -- the majority of families (that can afford to) vacation for 6 days or less.

Day camp, the next most popular option, often covers a much larger portion of the summer than vacation -- five weeks on average. However, the cost of these summer learning programs can be pretty ridiculous.

On average, families spend around 20% of their summer income on summer learning programs for their kids. Combined with the other care options, one in five families in the US spend $3000 or more over the summer -- in New York for example, the average family spends more than $6000!

How Finli can help

With summer care costs so high, some parents have no choice but to work part time or use sick leave to be at home with their children. As a result, businesses big and small will be spread thin over the summer.

Finli can help businesses that contribute directly to their employees’ child-care related expenses by providing supporting data to secure the Employee Child Care Tax Credit (IRS 8882).

By using Finli, businesses will not only better position themselves for a tax credit, but more importantly, they’ll support employees who want to put their children in safe, enriching environments over the summer.

Lori Shao