KATE STICKLES By KATE STICKLES

November 1 Calendar IconOctober 30, 2024 — If you pay for childcare, elder care, or disabled dependent care, you may be able to set aside pre-tax money in a Dependent Care Advantage Account (DCAA). Eligible employees can even enroll without having to set aside any of their own money and still receive the contractual employer contribution. 

The open enrollment period for this 2025 benefit begins Nov. 1, 2024, and ends Dec. 9, 2024. 

PEF advocated for increases to the employer contribution and as a result, the state agreed to increase their contribution by $100 per participating employee for 2025. The following salaries and employer contribution rates will be in effect for next year: 

    • Under $30,000 – $1,100 contributed by the employer 
    • $30,001 to $40,000 – $1,000 contributed 
    • $40,001 to $50,000 – $900 contributed 
    • $50,001 to $60,000 – $800 contributed 
    • $60,001 to $70,000 – $700 contributed 
    • Over $70,000 – $600 contributed 

Additionally, please note: 

    • If you use the “Married Filing Jointly” tax filing status, the IRS $5,000 maximum contribution rule is applied to households. 
    • If both you and your spouse participate in a DCAA, the total household contribution is limited to $5,000. 
    • If you file “Head of Household,” the IRS maximum contribution is $5,000. 
    • If you or your spouse earn less than $5,000 annually, you cannot put more money into the account than your income or your spouse’s income, whichever is less. 
    • If you use the “Married Filing Separately” or “Single” tax filing status, the IRS limits DCAA contributions to $2,500. 

The DCAA provides a grace period, which allows for an additional 2.5 months to incur dependent care or adoption-related expenses. You can use any funds remaining in your account after the plan year ends to pay for expenses incurred between January 1 to March 15 of the following year. 

Complete enrollment at https://app.mybentek.com/nysfsa/. You will need your NYS EMPLID number, located on your paystub.  

For information, visit https://oer.ny.gov/fsa, call 1-800-358-7202, or email fsa@oer.ny.gov.