DCFSA Guide

Turn caregiving into tax savings

Keep more of your hard-earned money. Plan your spending, know the rules and unlock amazing tax savings.

What is a Dependent Care
Flexible Spending Account?

DCFSAs are tax-advantaged accounts that let you use pre-tax dollars to pay for eligible dependent care expenses. A qualifying ‘dependent’ may be a child under age 13, a disabled spouse, or an older parent in eldercare.

Benefits built for mobile.

Faster access, stronger security, and more convenient than logging in online. DCFSAs use either HealthEquity Mobile or EZ Receipts Mobile—depending on your plan.

HealthEquity Mobile app

4.5 stars¹

Tap into health savings.
Already enrolled? Set up your new account directly in the app—no need to register online.

EZ Receipts Mobile app

4.7 stars²

Bring your benefits with you.
Already enrolled? Please set up your account online before using the app.

Am I eligible for a Dependent Care Flexible Spending Account?

Eligibility requires a DCFSA offered through your employer. DCFSAs can be combined with a standard FSA or an HSA. DCFSAs do not impact HSA eligibility.

Five DCFSA rules you need to know

Plan your spending

It pays to be strategic.

Pay for dependent care expenses

Babysitter

Daycare

Preschool

Summer Day
Camp

Before or
After School
Programs

Elder Day Care

See full list of eligible expenses

Your savings can add up fast

Here’s an example based on $4,500 annual spending and a 30 percent effective tax rate.

Daycare
$300/mo.

Summer camp
$500

After school program
$50/mo.

Annual tax savings³

$1,350

DCFSA savings calculator

Discover the full power of your DCFSA. Just input your planned spending and watch the savings add up.

Calculate my DCFSA tax savings

Make your elections

Once you choose an annual contribution, your employer will deduct that amount pre-tax in equal parts from each paycheck. DCFSA funds are made available only as money is added to the account.

DCFSA Annual Contribution Limit

Tax year	Individual and family limit⁴
2025	$5,000
2026	$7,500

Know the rules

Don’t get caught by surprise. Carefully review your open enrollment materials.

Timing matters

You only have one year to spend your DCFSA money. Unused funds are forfeited to your employer—usually at the end of the plan year.

Five DCFSA rules you need to know

Limited Election Period

Elections can only be made during open enrollment unless you have a qualifying life event,⁵ which may include changes to:

Employment
status (Including
medical leave)

Marital status

Number of
dependents

Daycare closures

No double-dipping

You can’t get reimbursed twice for the same expense (example: reimbursement + deduction from tax returns).

We make it easy to get reimbursed:

Pay for your products or services
Upload your receipts online or in the mobile app
Choose reimbursement by check or have funds deposited directly into your bank account

Want more?

Check out these additional resources.

Articles

Considering a DCFSA? Here are 5 rules you need to know

Paying the babysitter and 5 other ways to save with a DCFSA

DCFSA webinar

Check out our webinar to discover what expenses are covered and strategies to maximize your annual savings.

DCFSA: Turn Caregiving into Tax Savings

A Dependent Care Flexible Spending Account (DCFSA) enables you to use pre-tax dollars for qualified dependent care expenses. Join our short webinar to discover what kind of expenses are covered and strategies to maximize your annual savings.

Explore other FSA types

FSA

Flexible Spending Account

Give yourself flexibility and amazing tax savings.

LPFSA

Limited Purpose Flexible Spending Account

Complement your HSA and save more on dental and vision.

¹4.5 stars is the Apple App Store rating as of April 2025, with 11.8k ratings.Return to content

²4.7 stars is the Apple App Store rating as of April 2025, with 76.6k ratings.Return to content

³The example used is for illustrative purposes only; actual savings may vary. The figure is based on average tax rates, including state, federal and FICA taxes.Return to content

⁴If Married Filing Separately your limit is $3,750.Return to content

⁵Please refer to your plan documents for more information.Return to content

HealthEquity does not provide legal, tax or financial advice. Always consult a professional when making life-changing decisions.

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