Comments on: Dependent Day Care Flexible Spending Account (FSA)

By: Heidi

Heidi — Thu, 17 Sep 2009 22:00:46 +0000

I’m a stay at home mom who is about to be put on bedrest for the last few months of pregnany. Can we use this FSA account to hire a nanny for our 4 year old, since I will not longer be able to care for him and my husband works full time and travels with his job. Please advise.

By: MoneyNing

MoneyNing — Sat, 22 Aug 2009 22:26:23 +0000

In general, the federal cap is at $5,000. Also, both you and your husband are supposed to have income in order to take advantage of dependent day care FSAs. Have you asked your husband’s employer why they are reducing this? For example, if one spouse (in that case, you) earns less than $5,000 then the benefit is limited to whatever that spouse earned.

Does this apply? If not, the easiest way to get an accurate explanation is to just ask your husband’s employer.

By: Diana

Diana — Sat, 22 Aug 2009 19:02:48 +0000

We take out $5000 dependent day care FSA. This year my husband’s employer is saying that they’re reducing it to $1800. How can they do this and more importantly why can they do this? Can someone please explain? Thanks!

By: MoneyNing

MoneyNing — Fri, 24 Jul 2009 16:09:58 +0000

It all depends on your employer so talk to your HR (or plan administrator). Usually, they have a specific time that you can make changes to your FSA plans. (It’s probably once a year but it may be more frequent for your company)

By: afunbee

afunbee — Thu, 23 Jul 2009 23:27:57 +0000

I signed up in the beginning of the year so that my wife can look for a job and child can go to day care part-time. Wife was unable to find job and I would like to stop sending child to day care since wife is at home more. Can I change my enrollment in the mid-year due to this reason?

By: zack

zack — Fri, 27 Mar 2009 14:56:42 +0000

My daycare provider does not accept cards. So I get a receipt and fill out a claim form. The account provider should provide you with the reimbursement form. I get mine from my company’s web site.

By: MoneyNing

MoneyNing — Mon, 29 Dec 2008 16:20:50 +0000

margaret: If it’s those debit visa cards, they are supposed to accept it as long as they accept debit cards. Check to see if that card has a credit option, which opens even more ways to pay.

I would actually check with your plan provider and see if there is a way to also manually submit your expenses. That way, as long as you have proof of your expenses, you can get a refund.

By: margaret

margaret — Mon, 29 Dec 2008 16:03:58 +0000

is there a list of day care centers that accept this flexible daycare account. I have twins, I was so excited that I took out the max of $5000. the way my company does it, is they give you a card, it look live a visa card, but the provider has to accept it. I have yet to find a center and I have called all in malden, ma

By: Polly Poorhouse

Polly Poorhouse — Fri, 05 Dec 2008 19:09:36 +0000

Great and timely article. I have one quibble though, as I recently looked into this. According to the IRS documents, expenses for caregivers under 19 are eligible, provided they are not related to you. This is important for people who may use teenage after-school babysitters.

By: Mary@SimplyForties

Mary@SimplyForties — Sun, 30 Nov 2008 17:03:16 +0000

I no longer have children in daycare but this is an excellent article. I was unaware that daycare FSA’s existed. I’ll be sending this along to families I know who do have children in daycare. Thanks!