Additional help with child care costs may be available through your employer. Inquire in your human resources or finance office to find out if any of the following benefits may be available:
Dependent Care Spending Account
Money is set aside from an employee’s gross salary into a nontaxable spending account to pay for child care. Neither the employer nor the employee pays taxes on the amount of salary reduced for child care. The employee is thus able to pay for child care expenses with tax free dollars.
Flexible Spending Plans
Also called a “cafeteria plan”, these programs allow employers to offer a range of benefits. Employees choose from a menu of benefits and customize their benefits package. For example, some employee may have health insurance provided by a spouse’s employer and may choose a child care benefit instead.
Child Care Vouchers or Reimbursements
An employer may offer workers a child care allowance or subsidy that families can use toward a child care arrangement of their choice.
