Camps (soccer, football, ballet, etc. day camps): HSA Eligibility

Camps (soccer, football, ballet, etc. day camps) and their related expenses for children under the age of 13 or dependents incapable of self-care may be covered under a dependent care flexible spending account (DCFSA), provided that the camp enables the parents or parents to be gainfully employed, seek gainful employment or attend school full-time. Camps (soccer, football, ballet, etc. day camps) reimbursement is not eligible with a flexible spending account (FSA), limited care flexible spending account (LCFSA), health savings account (HSA) or a health reimbursement arrangement (HRA).

How are camps (soccer, football, ballet, etc. day camps) expenses reimbursed?

Individuals who contribute to a dependent care flexible spending account (DCFSA) set aside pretax dollars to pay for eligible care expenses for a child, disabled spouse, elderly parent or other individual listed as a dependent who is physically or mentally incapable of self-care. Most importantly, expenses for the care of these dependents are only eligible if these care services enable the account holders/spouses to work, look for work or go to school full-time. If an employee has a spouse that is a stay-at-home mother or father, he or she cannot participate in dependent care FSAs.

What documentation is required for DCFSA reimbursement?

As long as dependent care FSA account holders can prove to their benefits administrators that camps (soccer, football, ballet, etc. day camps) are a necessary form of dependent care to enable them to work or go to school full-time, it will be covered under a DCFSA. In most cases, account holders will have to fill out a claims form and submit it to their benefits administrator, along with the necessary documentation.

The IRS has provided strict guidance that dependent care expenses must be substantiated through itemized receipts or care provider certification. These documents must contain the provider's name, provider contact information, dependent name, service dates (both beginning and ending dates), a description of the services provided and the total monetary amount that will be reimbursed.

Eligibility Table

Flexible Spending Account (FSA) Limited Care FSA Dependent Care FSA Health Savings Account (HSA) Health Reimbursement Account (HRA)

Eligible

Eligible with Rx

Eligible with LMN

Not Eligible

Specifically Not Covered

Pre-payment is not eligible, as services are only eligible once they have actually been rendered.

 


AZ-PROD-WEB02 11/18/2017 8:20:57 AM