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Additional Benefits > Dependent Day Care Flexible Spending Account (FSA)

Additional Benefits

Dependent Day Care Flexible Spending Account

With this benefit, use before-tax dollars to pay for eligible child day care expenses or expenses for caregivers for an elderly parent or disabled family member.

How the Plan Works
  • With the Dependent Day Care FSA, you can reimburse yourself for eligible dependent day care expenses you incur so that you and, if you are married, your spouse can work or attend school full time.

    • You may contribute up to $5,000 each year to your account (limits apply to married participants). Your contributions may be reduced based on IRS Non-Discrimination Regulations.

    • Contributions are deducted from your pay before taxes are calculated.

    • Reimbursements from your account are tax-free.

Using the Plan

Care must be for a dependent who lives with the employee/taxpayer for more than half the year and who is either your:

  • Child under age 13 who qualifies as a dependent on your federal income tax return

OR

  • Family member, including your spouse, who is physically or mentally incapable of self-care and who qualifies as a dependent on your federal tax return.

Eligible providers include:

  • Caregivers for an elderly parent or disabled family member (Caregivers cannot be dependents under age 19 or those you claim on your taxes.)

  • You child's day care center

  • Babysitters (but not your dependents under age 19 or those you claim on your taxes).

For more complete explanations of eligible and ineligible dependent care expenses, see MyBenefits Online or contact Aetna, the plan administrator.

Tips for Using Your FSA

  • Use the Dependent Day Care FSA for caregivers for an elderly parent, disabled family member or child care. It is not for your dependent’s health care expenses. (Use the Health Care FSA for your and your dependent’s health care expenses.)

  • To get reimbursed, you will need to provide your dependent care provider’s name, address, and Social Security number or tax identification number.

  • FSA elections do not automatically carry over from year to year. If you want an account, you must actively elect it every year.

  • You have until March 15, 2010 to incur expenses that may be reimbursed from your 2009 contributions. Any unused 2009 contributions will be forfeited if not submitted for reimbursement by June 30, 2010.

Also consider …

Contributing to Your Dependent Day Care FSA

The Most You Can Contribute to All Dependent Day Care FSAs

Dependent Day Care FSA vs. Income Tax Credit

Getting Reimbursed

Disclaimers

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