A Dependent Care FSA (DCFSA) is a pre-tax benefit account used to pay for eligible dependent care services, such as preschool, summer day camp, before or after school programs, and child or adult daycare. It's a smart, simple way to save money while taking care of your loved ones so that you can continue to work.
Why enroll in a Dependent Care FSA?
- Save an average of 30 percent on dependent care services
- Reduce your overall tax burden - funds are withdrawn from your paycheck for deposit into your account before taxes are deducted
- Take advantage of several convenient, no-hassle payment and reimbursement options
How You Save
With a Dependent Care FSA, you use pre-tax dollars to pay qualified out-of-pocket dependent care expenses. The money you contribute to a Dependent Care FSA is not subject to payroll taxes, so you end up paying less in taxes and taking home more of your paycheck.
Dependent Care FSA Eligible Expenses
- Care for your child who is under age 13
- Before and after school care
- Babysitting and nanny expenses
- Daycare, nursery school, and preschool
- Summer day camp
- Care for your spouse or a relative who is physically or mentally incapable of self-care and lives in your home