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New York cuts off Dependent Care contribution for PEF members

The Dependent Care Advantage Account (DCAA) remains available for 2021, however, the state has informed PEF it will not make employer contributions.

Under the current Contract, the DCAA program will continue to allow PEF members to enroll in the DCAA to set aside part of your pre-tax pay for 2021 dependent-care expenses. This provides you with a reduced reportable 2021 income for income tax purposes

Open enrollment for the 2021 plan year runs from November 2, 2020 – November 30, 2020 at 10:00 p.m.  Members can apply online at www.goer.ny.gov/FSA or by telephone at 1-800-358-7202. Customer service representatives are available Monday through Friday between 8 a.m. and 8 p.m. ET..

PEF continues to discuss with the State the status of the employer contribution for 2021 and will promptly report to our membership if the situation changes

Meanwhile, PEF encourages its members to complete enrollment in DCAA without the employer contribution. Regardless of whether the employer contribution is available, enrolling in DCAA to pay for dependent care expenses on a pre-tax basis will still result in significant savings for members who participate.