Page 12 - 2019 Heico Core Benefits Guide
P. 12
2019 | The Heico Companies Enrollment Guide
Dependent Care Flexible Spending Account
Discovery Benefits
The Dependent Care Flexible Spending Account (DCFSA) is a pre-tax account for elder care and child care expenses� The services
must be necessary to allow you—or, if you are married, you and your spouse—to work or attend school full-time�
Eligible dependents include:
Children under the age of 13
Dependents of any age incapable of caring for themselves because of a mental or physical handicap
By law, the maximum amount that you may contribute to any Dependent Care FSA for your family is $5,000, or $2,500 if you are
married and file separate tax returns� The plan contains a “use it or lose it” provision—so plan carefully! After the end of plan year,
you will have an additional 90 days to submit expenses that occurred during the plan year� You will also have until March 15th to
spend any unused funds that you did not use in the designated plan year�
Dependent Care FSA’s are reimbursable as long as the provider is not anyone considered your dependent for tax purposes� To be
reimbursed when submitting receipts, you must provide the tax identification number of the party providing care�
Examples of eligible expenses under this program include:
Day care Nanny, nursery school, or pre-school expenses
Before and after school programs Summer day camp
Care for a dependent adult (elder care)
The list below includes common fees that are not eligible under this program:
Diaper changing fees Fees for lessons (i�e� dance, piano, swim, etc�)
Entertainment Late fees
Additional information can be found on the IRS website�
Potential Tax Savings Illustration
With Dependent Without Dependent
Care FSA Care FSA
Annual Earnings $35,000 $35,000
Tax-Free Dependent Care FSA Election -$1,000 $0
$34,000 $35,000
Estimated Taxes Owed -$7,701 -$7,928
$26,299 $27,072
After-Tax Dependent Care FSA Expenses $0 -$1,000
Spendable Income $26,299 $26,072
Potential Savings $227 $0
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Dependent Care Flexible Spending Account
Discovery Benefits
The Dependent Care Flexible Spending Account (DCFSA) is a pre-tax account for elder care and child care expenses� The services
must be necessary to allow you—or, if you are married, you and your spouse—to work or attend school full-time�
Eligible dependents include:
Children under the age of 13
Dependents of any age incapable of caring for themselves because of a mental or physical handicap
By law, the maximum amount that you may contribute to any Dependent Care FSA for your family is $5,000, or $2,500 if you are
married and file separate tax returns� The plan contains a “use it or lose it” provision—so plan carefully! After the end of plan year,
you will have an additional 90 days to submit expenses that occurred during the plan year� You will also have until March 15th to
spend any unused funds that you did not use in the designated plan year�
Dependent Care FSA’s are reimbursable as long as the provider is not anyone considered your dependent for tax purposes� To be
reimbursed when submitting receipts, you must provide the tax identification number of the party providing care�
Examples of eligible expenses under this program include:
Day care Nanny, nursery school, or pre-school expenses
Before and after school programs Summer day camp
Care for a dependent adult (elder care)
The list below includes common fees that are not eligible under this program:
Diaper changing fees Fees for lessons (i�e� dance, piano, swim, etc�)
Entertainment Late fees
Additional information can be found on the IRS website�
Potential Tax Savings Illustration
With Dependent Without Dependent
Care FSA Care FSA
Annual Earnings $35,000 $35,000
Tax-Free Dependent Care FSA Election -$1,000 $0
$34,000 $35,000
Estimated Taxes Owed -$7,701 -$7,928
$26,299 $27,072
After-Tax Dependent Care FSA Expenses $0 -$1,000
Spendable Income $26,299 $26,072
Potential Savings $227 $0
12
