What is a Dependent Care Assistance Program (DCAP)?

A Dependent Care Assistance Program (DCAP) is a type of health insurance law in Washington that helps employees pay for the costs of dependent care. This may include the costs of daycare, elder care, or other types of care for a dependent, such as a child or elder parent. DCAP may provide a tax credit or allow an employee to set aside a certain amount of their wages to use toward the cost of dependent care. This means that employees can save money, while still being able to provide the necessary care for their dependents. DCAPs are usually offered through employer-sponsored plans, and may provide different benefits depending on the company and plan. Generally, employers will pay for a portion of the dependent care expenses, and the employee can cover the remaining amount with the funds saved through the DCAP. In most cases, these expenses must be directly related to care for an eligible dependent – usually a child under the age of 13 or an adult with a disability. DCAPs are an important benefit for many Washington residents, helping to reduce the cost of dependent care and allowing employees to better provide for the people who depend on them. This can help them to stay in the workforce, while still meeting the needs of their dependents.

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What is a Dependent Care Assistance Program (DCAP)?

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