Active Pilots & 2026 Legislation
Kansas Child Care Cost-Sharing & 2026 Credits
Kansas introduced the Tri-Share Child Care Act (HB 2689) in February 2026, creating a 33/33/33 match program to be administered by the new Office of Early Childhood. The state also offers a 50% employer tax credit under Schedule K-56.
2026
Program Year
Active
Program Status
45F
Federal Credit Available
All
Employers Eligible
⚖️ How the Cost Split Works
Employer Pays
~33%
of total tuition
Kansas Pays
~33%
state match
Parent Pays
~33%
of total tuition
📊 The Kansas Savings Stack
Stack available Kansas programs with the Federal 45F Tax Credit for maximum employer savings.
| Benefit Layer | Small Business (<$32M) | Large Business |
|---|---|---|
| State Program Benefit | Varies by program | Varies by program |
| Federal 45F Credit (2026) | 50% Tax Credit | 40% Tax Credit |
| Net Employer Cost | Significantly Reduced | Significantly Reduced |
💰 Real-World Employer Savings
| Cost Component | Without Program | With State + 45F Stack |
|---|---|---|
| Annual child care cost (per employee) | $12,000 | $12,000 |
| State Program Benefit | $0 | Varies |
| Employee Share | $0 | Reduced |
| Employer Share | $12,000 | Reduced |
| Federal 45F Credit (50% of employer share) | $0 | Significant savings |
| Net Employer Cost | $12,000 | Significantly Lower |
📋 All Available Programs
Federal 45F Tax Credit
Federal Tax Credit
Up to $600,000/year
All U.S. employers
Duo-Share Program
Employer-Employee Split
Flexible cost sharing
All employers — no state required
📍 Geographic Coverage
Major Cities Served
County Coverage
All 105 Kansas counties are eligible for the HB 2703 employer tax credit (50%). Contact KDHE for enrollment and the Kansas Child Care Training Opportunities for provider resources.
❓ Frequently Asked Questions
Introduced in February 2026, the Kansas Tri-Share Child Care Act creates a matching program fund where child care costs are split equally between the employer, the employee, and the state. It is being fast-tracked through the House Commerce Committee.
Yes. Under Schedule K-56, Kansas businesses can already claim a credit for 50% of the net amount spent providing or locating child care for employees' children.
The OEC officially becomes operational on July 1, 2026, consolidating all DCF and KDHE child care functions into one office. Director Christi Smith was appointed by Governor Kelly to lead the transition.
HB 2689 proposes eligibility for families earning up to 325% of the Federal Poverty Level, covering a significant portion of the missing middle workforce.
Yes. A Kansas business can claim the 50% state credit (K-56) plus the 50% Federal 45F credit, potentially recovering 100% of their child care investment before the Tri-Share match even begins.
Since the 50% state tax credit is already active, a Duo-Share (50/50 split) allows employers to utilize the state credit and Federal 45F credit to reach near-zero net cost while waiting for the full OEC Tri-Share rollout in July.
Kansas offers the Child Care Subsidy through DCF for families up to 185% FPL, plus Head Start, Early Head Start, and the Kansas Pre-K Pilot for 4-year-olds.
📚 References & Sources
Last Updated: March 1, 2026
📋 Available Programs & Incentives
Kansas HB 2703 Employer Tax Credit
State Tax Credit
50% of employer contributions (up to $5,000/employee/yr)
Eligibility: All Kansas employers with qualifying child care expenses
Kansas Child Care Assistance Program (CCAP)
State Subsidy
Sliding-scale co-pay based on income
Eligibility: Families at or below 85% SMI
Federal Section 45F Credit
Federal Tax Credit
Up to 50% of employer costs (max $600K/yr)
Eligibility: All U.S. employers with qualifying child care expenses
Kansas Child Care Training Opportunities (KCCTO)
State Program
Training and quality improvement for providers
Eligibility: Licensed Kansas child care providers
Duo-Share (Employer + Employee)
Employer Benefit
Flexible split — employer covers 25–75%
Eligibility: Any Kansas employer, no state program required
❓ Frequently Asked Questions
HB 2703 created a 50% employer tax credit on contributions toward employee child care costs, up to $5,000 per employee per year. This is one of the most generous per-employee credits in the country.
Yes — Kansas employers can stack the HB 2703 state credit (50%) with the Federal Section 45F Credit (up to 50%). Together, these credits can offset nearly all employer child care contributions.
Wichita, Overland Park, Kansas City, and Topeka have the highest employer participation rates. The HB 2703 credit is available statewide to all Kansas employers.
Kansas does not have a formal Tri-Share program. However, HB 2703 creates a strong employer incentive. We recommend a Duo-Share model — contact us for a free consultation.
Kansas's Child Care Assistance Program (CCAP) serves families at or below 85% of the State Median Income (SMI). Contact KDHE for current income thresholds.
File the appropriate schedule with your Kansas state income tax return. Contact the Kansas Department of Revenue at ksrevenue.gov for guidance on claiming HB 2703 credits.
The Kansas Child Care Training Opportunities (KCCTO) program provides training, quality improvement, and technical assistance to licensed Kansas child care providers. Higher-quality providers are preferred partners for employer child care programs.