What is an DCA?
A Dependent Care Account (DCA) is a tax-advantaged childcare expense account to those who have predictable childcare expenses. Funds that are deposited into your Dependent Care Account are not subject to taxes at the time at the time of the deposit. They can be used on childcare expenses for children up to age 13.
Eligible Expenses
- Adult Day Care Center
- Babysitter inside or outside household
- Before and after school or extended day programs
- Child Care
- Custodial childcare or eldercare expenses
- Day camps
- Daycare centers
- Household employee whose services include care of a qualifying person
- Late pick-up fees
- Looking-for-work expenses
- Nanny expenses
- Payroll taxes related to eligible care
- Preschool/nursery school for pre-kindergarten
- Registration fees
- Sick-child care center
- Summer day camps
- Transportation to and from eligible care (provided by your care provider)
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Ineligible Expenses
- Activity Fees
- Dance Lessons
- Educational/tuition expenses
- Expenses paid to child of participant
- Field trip expenses
- Food, clothing education or entertainment expenses
- Household services
- Incidental expenses
- Kindergarten tuition
- Late payment fees
- Medical Care
- Nursing home care
- Overnight camps
- Payments for care while on a leave of absence, or while on maternity, or other medical leave
- Payments for care while you are on vacation or due to illness
- Payment for services not yet provided
- Payments for care where you are not the custodial parent
- Piano Lessons
- Private school tuition (for kindergarten and up)
- Registration fees (required for eligible care, prior to actual services being received)
- Transportation to and from eligible care (not provided by your care provider)
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