Employer Assistance

Some companies offer a Dependent Care Assistance Plan (DCAP) program, which allows employees to set aside up to $5,000 of their pre-tax salary per year to pay for dependent care expenses. There are certain restrictions that apply -- e.g., unspent funds are usually not refundable to the employee. Speak with the benefits coordinator at your workplace for more details on the plan.

Many employers now offer some form of employer-sponsored child care assistance to their employees. Some examples of assistance include:

• Matching funds or subsidy programs that are paid for by the employer for employees’ child care needs. This is offered as an employee benefit.
• Work and family resources, offered through the HR department, that may include enhanced CCR&R services in child care, elder care, and work/life issues.
• Employer funding for camp programs for employees’ children during school and summer vacations.
• Some employers offer on-site care for mildly ill children and emergency back-up care.
• Many employers find that providing on-site child care creates benefits both for the employee, by providing reduced tuition costs and stress-relief, and for the employer, with increased productivity, retention, and hiring incentives.

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