West Virginia Tri-Share, making childcare more affordable for working families

It is up to you to determine how much you pay per employee that is enrolled in the Tri-Share program. The state’s match percentage of your contribution is based on the employee's annual gross household income.

If an employee exits the company or their working status changes, you will notify Wonderschool immediately and their participation in the program will end prior to the next billing cycle.

Payments from the employee for the remainder of the tuition payment are between them and the provider. If such payments are delayed by more than 1 month, Wonderschool will withhold state and employer payments until any outstanding balance has been paid by the family.

Yes, you can revise your contribution amount at any time. In this case you are required to notify Wonderschool so that we can alter the automatic payment deduction.

The Tri-Share model is more flexible and less resource-intensive than setting up an onsite childcare facility. Employers in smaller or mid-sized companies may lack the space, regulatory expertise, or budget for an onsite center. By sharing childcare costs through the Tri-Share model, employers can support their workforce without the extensive overhead or long-term commitments involved in managing onsite childcare. This model also enables smaller businesses to provide childcare assistance on par with larger employers.

No, there are no sign up or administrative fees associated with the Tri-Share Program

At this time the employer portal can only be used to enroll employees who are receiving the full benefits of the Tri-Share Program based on eligibility.

Employers could consider setting up a Dependent Care Assistance Program (DCAP), which is a tax-favored plan under Section 129 of the Internal Revenue Code. Under a DCAP, employer contributions to employee-dependent care expenses are not counted as taxable income for employees, up to $5,000 per year ($2,500 if married filing separately). This can reduce the taxable income for employees while providing a direct tax deduction for the employer. Note: employers are encouraged to seek additional advice from a West Virginia tax specialist before offering benefits to an employee.

Employers may benefit most from either a Dependent Care Assistance Program (DCAP) or a Dependent Care Flexible Spending Account (FSA). Both plans allow for tax-advantaged contributions towards dependent care, but they have different structuring and compliance requirements. A DCAP allows employer-sponsored contributions and is often part of a Section 125 cafeteria plan, with non-taxable contributions up to the annual $5,000 limit. A Dependent Care FSA permits employees to set aside pre-tax dollars for dependent care, which could be paired with the employer’s contributions to meet the program’s cost-sharing goals. Selecting either or both of these arrangements can maximize tax savings and flexibility. Note: employers are encouraged to seek additional advice from a West Virginia tax specialist before offering benefits to an employee.

Employers benefit from payroll tax savings when they contribute to dependent care through a DCAP or FSA. Since these contributions are not considered taxable income to employees (up to the allowed limits), employers do not pay FICA (Social Security and Medicare) and FUTA (unemployment) taxes on these amounts. This can result in substantial savings on payroll taxes, making the program even more cost-effective. Note: employers are encouraged to seek additional advice from a West Virginia tax specialist before offering benefits to an employee.

This will depend on any specific state incentives or credits West Virginia might provide for employer-sponsored childcare programs. Some states offer additional credits or deductions to employers who contribute to employee-dependent care expenses. Consultation with a tax advisor familiar with West Virginia's tax laws could help uncover state-level incentives.

No, the employee can live anywhere in the state. The employee only must work in one of the 8 participating counties.

Does my employee's child care provider need to operate in one of the 8 participating counties?

No, you can operate anywhere in the state.

Yes. So long as your child care business meets the eligibility criteria for Employers, your employees can participate.

If you have a family that is interested in enrolling in their Tri-Share Program through their employer, have them complete the Employee Form on our website and reach out to Wonderschool for more information.

If payments from either party are delayed, Wonderschool will notify you of such delay. The payment to you for tuition will also be delayed based on payment from both mentioned parties.

A provider shall not charge Tri- Share program participants a higher rate than non-program participants for the same services.

Yes, a Montessori school is an eligible provider so long as they are licensed and in good standing.

Wonderschool will send the provider an invoice on the 1st of each month with all tuition contribution amounts to serve as the provider’s request for payment. Employer and State funds are collected on the 7th of each month. Funds will be electronically sent to the provider within a week of collection, so long as the signed invoice and tuition documentation have been returned.