This calculator was built to help employers and benefits teams understand the ROI of promoting DCFSA enrollment. Every dollar employees contribute to a Dependent Care FSA reduces your FICA tax bill by 7.65%, and most companies are leaving significant savings on the table through low participation rates.
The tool was created by Drew Chambers, Co-founder of SitterSync. Drew has a background in private equity and energy transactions, and holds an MBA from Darden.
When Drew moved to Lincoln, Nebraska, he had a list of local babysitters from a community organization but no way to manage bookings, payments, or track expenses. He also discovered that most families around him overlooked babysitting as a primary care option, and nearly all of them didn't realize they could use their Dependent Care FSA or the Child and Dependent Care Tax Credit to make those sitters tax-free.
SitterSync was built to solve both problems: make it easy to manage and pay babysitters, and make those payments tax-advantaged through DCFSA and the care credit.
This employer-facing calculator exists because the other side of that equation matters too. When companies actively promote DCFSA enrollment and remove the paperwork friction, they save real money in FICA taxes while helping their employees keep more of their paycheck.