Dependent Care Flexible
Spending Accounts Fact Sheet

Dependent Care FSAs Enable Working Families to Manage the Costs of Childcare and Elder Care

  • Dependent care FSAs enable working families to pay for certain expenses to care for the dependents that live with the participant while the participant is at work
  • A dependent care FSA can be used to pay for expenses such as day care or before and after school programs for children under age 13 and senior day care for elderly parents who live with the participant

Dependent Care FSAs Allow Working Families to Balance Work and Family Lives

  • Dependent care FSAs allow participants to continue working while ensuring that their dependents such as young children or elderly parents are cared for
  • Dependent care FSAs enable participants to thoughtfully budget for dependent care as they would for any other annual household expense

Dependent Care FSAs Provide Tax Savings for Families

  • Contributing money to a dependent care FSA reduces your taxable income thus reducing the amount you pay in income taxes and increasing your take-home pay
  • Money withdrawn from a dependent care FSA to pay for eligible expenses is not taxed

Dependent Care FSAs Offer Simple Enrollment, Easy Account Management

  • During open enrollment, employees select the annual amount, not to exceed $5,000, they want to set aside in their dependent care FSA
  • After paying dependent care expenses as they usually would, participants submit a dependent care claim and receipts requesting reimbursement


Real Stories. Real Users.

Abby

From Florida

“My FSA is a life saver! Last year I was diagnosed with a malignant tumor and luckily I was able to have the necessary surgeries to remove it immediately since my FSA covered all of the out-of-pocket costs for my deductible and medicines.”

Annual Savings: $816

Read more about how real people use their pre-tax benefits.