Do Y Workers Receive Subsidized Child Care?

Employer-sponsored child care centers provide stable childcare at a discounted rate, benefiting both employees and employers. A survey by human resources consulting firm Mercer found that 54 of employers with at least 500 employees do not offer any child care benefits. However, employers that supply child care subsidies can take advantage of an annual tax credit of up to $150,000 if they use it for child care expenses. Employee discount programs are another way to help employees save money on child care and parenting needs. Child care stipends offered by employers provide employees with a set amount to pay for childcare through a cost-sharing or reimbursement plan.

Employee child care benefits programs include design, development, and management of on-site child care centers that relieve employee stress, reduce turnover, and offer discounts to top, nationwide child-care providers. The Employer-Provided Child Care Credit can save employers with eligible expenses more in taxes than using a deduction alone, and employees can also contribute to retirement savings and optional 403B retirement plans.

Some employers may allow employees to put a portion of each paycheck into a Dependent Care Flexible Spending Account, which can save more in taxes than using a deduction alone. Child care providers can choose to offer a discounted fee to educators or cooks whose children are enrolled at one of their services. Part-time employees of the Y’s Early Childhood Learning Programs are eligible for a 50% reduced rate on Early Childhood care.

While an on-site day care would reduce commuting time and child care costs for workers, fewer than 6 of employers offer the benefit at their workplace.