About This Calculator

This is a free tool for employers and benefits teams to model DCFSA nondiscrimination testing outcomes before open enrollment - not after.

Who Built This

Drew Chambers is the Co-founder of SitterSync. He 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.

Why We Built the DCFSA Nondiscrimination Test Calculator

I was watching a webinar from EBC presented by Sarah Fowles on the OBBBA's impact on dependent care benefits. She walked through a case study where a plan that passed NDT comfortably under the old $5,000 cap was now failing under the new $7,500 cap - with no change in employee behavior. One HCE maxing out the new limit was enough to flip the result from 64% pass to 43% fail.

Most benefits teams don't find out they've failed until the TPA runs the test after plan year-end. By then it's too late. This calculator lets you model it before open enrollment so you can adjust proactively.

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Content created with AI assistance and reviewed by Drew Chambers. All claims verified against IRC §129 and IRS guidance.