Do you have children who go to day care, or need before- or after-school care? Do you have an aging parent who lives with you and needs care while you’re at work? Are you tired of writing checks to your day care provider? Using a Dependent Care Flexible Spending Account (DCFSA) can knock 30% off the cost of day care by reimbursing you with money that isn’t taxed.
The Dependent Care FSA is NOT for your dependent’s health care expenses. It is for dependent DAY CARE needs. You can use this account to help pay for day care that lets you go to work. If you’re married, your spouse must work, be looking for work, or go to school full time.
Only the amount you’ve actually contributed is available for use at any one time. Estimate carefully! Unused funds will be forfeited at the end of the year per IRS regulations.
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Contribution limits
A Dependent Care FSA allows you to set aside money before it’s taxed, and use it to pay qualified day care expenses. Expenses can be for your children or a dependent adult who lives with you and depends on you for support. Day care must be required so that you (and your spouse, if married) can work or attend school full-time.
Single or married, filing jointly: $5,000/year maximum
Married, filing separate tax returns: $2,500/year maximum
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Claim deadline
Deadline for claims is 90 days after 8/1 effective date.
September 15, 2026
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Unused funds carry over?
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What expenses are eligible?
Generally, eligible expenses include DAY CARE expenses for dependents you can claim on your tax return (children up to age 13, adult dependents incapable of self-care, etc.). The Dependent Care FSA is NOT used for your dependents’ health care needs. A complete list of eligible expenses can be found at www.irs.gov, Publication 503.
Day care expenses for your dependents while you are at work. See www.irs.gov, Publication 503.
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