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Most Popular Questions
Contributions to a DCFSA are limited to the earned income of the lower earning spouse for that tax year. If your spouse's employment status changes and it appears they will not have earned income equivalent to or greater than the DCFSA election, excess contributions over the spouse's earned income will be treated as taxable income when filing your tax return. Funds contributed to the DCFSA can continue to be claimed for eligible dependent care expenses.
A PCS or change in your spouse's employment status are considered qualifying life events. Download the
Qualifying Life Events Quick Reference Guide (PDF) for more details.
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