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Increase in Daycare


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Guest Darla K
Posted

Is an increase in daycare tuition considered an eligible change in family status?

Can an employee change an election if their daycare amount increases during the plan year?

Posted

Under 125-4, it is a status change, and an election change is allowed as long as it is requested within the time frame specified in your 125 doc. The only stipulation is that the cost change must not be imposed by a relative (the daycare provider must be a daycare center, not a relative).

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