Day Care costs for an infant can cost $400/week or $20,800/year. If two children are in daycare, costs can run $38,350/year. In this scenario of two children in day care, a $5000 Dependent Care FSA will be completely exhausted by the second month requiring parents to use fully taxed money for months 2-12 in order to work full time.
Faced with this reality, many middle class American households of creative, intelligent, and educated professionals are making decisions to stay at home (which hinders the economy), or have fewer children (which hinders future economic growth) as there are few options to combat the skyrocketing costs of childcare.
Please raise or eliminate the maximum contribution limit for the Dependent Care FSA. We should provide more options to working American families.