Dependent Care FSA

DEPENDENT CARE FSA


What is a Dependent Care FSA?

A Dependent Care Flexible Spending Account (DC FSA) can help employees control their child care expenses while saving money.

Here's how it works:  employees set aside money in a DC FSA account before paying taxes on it.

 

Help Your Employee's Increase Their Take-Home Pay

In the example below, John and Carol estimate they will spend $5,000 on day care expenses for their child next year. Here's how they can save with a Dependent Care FSA:

 


 

Take Control of Dependent Care Expenses

Funds in a DC FSA can be used to pay for day care, baby-sitting and general purpose day camps for dependents under the age of 13. Funds may also be used to pay for adult day care services for dependent adults who are unable to care for themselves (if they live with the employee for at least 8 hours per day).

Maximum Contribution in 2018

  • $5,000 per year for married couples filing joint federal taxes or single caretakers
  • $2,500 for married couples filing separate federal taxes
 

Eligible Expenses

  • Qualified child care expenses for dependents under the age of 13
  • Adult day care services for dependent adults who are unable to care for themselves and live with the employee at least 8 hours each day
  • The employee will be reimbursed for eligible expenses as they are incurred and as funds are deposited into his/her account
  • Funds may not be used to pay for overnight camps, care provided by a dependent, spouse or child under the age of 19 and care provided while the employee is not at work

 

Why Surency?

We understand employees may be hesitant to set aside funds pre-tax to use at a later date for approved expenses. We've mapped out every aspect of the consumer experience down to the smallest detail to ensure employees understand the benefit - guaranteeing a positive experience for both employees and employer. 

 

 

Want to Learn More?

Contact our Sales and Marketing team at 316.264.8413 or email marketing@surency.com.

 

 

The savings amounts in the example above are provided by Surency for illustrative purposes only. You may save more or less based on your own tax situation. Some states do not recognize these tax exclusions for this program. No part of this website is tax, financial or legal advice. You should consult your own legal and tax advisers regarding your personal situation and whether this is the right program for you.