The Dependent Care Flexible Spending Account (FSA) can help you save money by allowing you to pay for dependent care expenses on a pre-tax basis.
Here’s a high-level overview of the 2016 Dependent Care FSA, administered by PayFlex. For details, review the FSA summary plan description.
| Plan Features | ||
|---|---|---|
Eligible Expenses |
Use the money in your account to reimburse yourself on a pre-tax basis for day care for a dependent child under age 13 or other dependent (such as an elderly parent) who is physically or mentally incapable of self support. Learn more about eligible dependent care expenses. |
|
Employee Annual Contributions |
Generally you can contribute up to $5,000 per year; $2,500 if married, filing separately. |
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Tax Savings |
Contributions are pre-tax and qualified reimbursements are tax-free. |
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Reimbursements |
Each year, you have until March 31 to submit claims for dependent care expenses incurred during the previous calendar year. You can submit a claim whenever you have a reimbursable expense by logging on to the PayFlex website. Forms are also available from the PayFlex Resource Center. You’ll be reimbursed up to the amount currently in your account. If you submit a claim for more than your current account balance, you’ll be reimbursed when additional funds are available in your account. |
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Tax Savings |
Contributions are pre-tax and qualified withdrawals are tax-free. |
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Forfeit of Funds |
According to the IRS, money left over after all eligible expenses have been reimbursed cannot be returned to you. You will forfeit any unused balance. |
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