What this calculator does
This calculator estimates the yearly cost of childcare in Miami by type of care and number of children, then shows how much a dependent care FSA can save. Florida's free Voluntary Prekindergarten (VPK) program covers four-year-olds for part of the day, and the School Readiness program helps eligible families with childcare costs through the Early Learning Coalition of Miami-Dade/Monroe.
How to use it
- Choose center-based care by age, a family child care home or a nanny.
- Enter the number of children and the schedule.
- Enter household income and filing status for the tax saving.
- Tick the FSA box if your employer offers one.
The formula
Center or family care = Miami starting price × (days ÷ 5) × (weeks ÷ 50), with a 10% sibling discount for each additional child. Nanny = hourly rate × hours × weeks × 1.0765 (employer payroll taxes). FSA saving = the lower of $7,500 or the cost × your combined marginal tax rate.
Starting estimates used for Miami: infant center $16,000, toddler $14,000, preschool $12,000, family child care $10,000 per year, nanny $20 an hour. These are Rate and Reason estimates, not official figures.
Worked example for Miami
| Item | Amount |
|---|---|
| Care type | infant |
| Children | 1 |
| Starting price per child (Miami estimate) | $16,000 |
| Yearly cost | $16,000 |
| Dependent care FSA (up to $7,500) x your marginal rate 29.6% | -$2,224 |
| Net yearly cost | $13,776 |
What affects childcare costs in Miami
Staff-to-child ratios set by the state are the main reason infant care costs more than preschool. Miami rents have risen quickly, and home and auto insurance are unusually expensive, which offsets much of the no-income-tax advantage.
Common mistakes and tips
- Joining waitlists late — many centers have long waits for infant rooms.
- Missing the FSA enrollment window, which is usually open enrollment or a qualifying life event.
- Forgetting nanny payroll obligations, including Schedule H and state unemployment tax.
- Not checking free public pre-K or subsidy eligibility, which can remove a large cost.
Frequently asked questions
How much does daycare cost in Miami?
This estimate for full-time infant care is $16,000 a year. Prices vary widely by neighborhood and provider.
What is the dependent care FSA limit for 2026?
$7,500 per household, up from $5,000, under the 2025 federal tax law.
Can I use the FSA and the child care tax credit together?
Not on the same dollars. Expenses paid with FSA money cannot also be claimed for the credit.
Is there free pre-K in Miami?
Yes, part-day. Florida's Voluntary Prekindergarten (VPK) program is free for four-year-olds but covers only part of the day during the school year, or a summer session. Many Miami families pair VPK with paid wraparound care. The Early Learning Coalition of Miami-Dade/Monroe issues VPK certificates.
Sources
Disclaimer
This calculator provides estimates for educational purposes only and is not financial, tax, legal, real estate, or insurance advice. Consult a licensed professional before making decisions.