DEPENDENT CARE FLEXIBLE SPENDING ACCOUNT
ABOUT Under the Federal Flexible Spending Account Program (FSAFEDS), a Dependent Care Flexible Spending Account (DCFSA) is a pre-tax benefit account used to pay for dependent care services, such as summer day camps, before and after school programs, nursery school, preschool, private sitters and child or adult daycare. A DCFSA is a smart, simple way to save money while taking care of your loved ones so that you can work. WHY YOU NEED IT • Save up to 30% on preschool, summer day camp, before/after school programs, child or adult daycare and more. • Reduce your overall tax burden—funds are withdrawn from your paycheck for deposit into your DCFSA before taxes are deducted. • Take advantage of several convenient, no-hassle payment and reimbursement options. HOW IT WORKS Simply decide how much to contribute to your account each year and funds are withdrawn from each paycheck for deposit into your FSAFEDS account before taxes are deducted. As soon as your account is funded, you can use your balance to pay for many eligible dependent care expenses. Be sure to estimate your annual dependent care expenses and make your contribu- tions carefully. Any money left unspent in your DCFSA at plan year end is forfeited. Please note: With a DCFSA, you have an additional 2 ½ month grace period to incur eligible expenses and use the DCFSA funds remaining in your account. HOW YOU USE IT With a variety of payment and reimbursement options, your DCFSA is easy to use. Arrange for convenient direct payments to your dependent care provider or be reimbursed for payments you make. You can even have your dependent care provider sign claims forms using your mobile device.
HOW MUCH YOU CAN CONTRIBUTE
HOW YOU GET IT
HOW YOU MANAGE IT
Ready to save? Enroll in a DCFSA during the Annual Federal Benefits Open Season. Learn more at: www.FSAFEDS.gov.
Manage your account via a secure website on any computer or mobile device that is connected to the Internet or via the FSAFEDS app.
You can contribute a minimum of $100 or up to a maximum of $7,500 (per household) to your DCFSA. Full rules available at: www.FSAFEDS.gov.
www.FSAFEDS.gov
1. Estimated savings are based on an assumed combined federal and state income tax bracket of 30%. Actual savings will depend on your taxable income and tax status. The Federal Flexible Spending Account Program (FSAFEDS) is sponsored by the U.S. Office of Personnel Management and administered by HealthEquity, Inc.
PAGE 19
CHILD & YOUTH PROGRAMS
Made with FlippingBook - Share PDF online