DCAP

Whitepaper: Updating Your Benefits Program for a Remote or Hybrid/Onsite Workforce

Benefits can determine a company’s success or failure in competing for and holding on to engaged, productive workers. Whereas employers once boasted about their health and retirement benefits, those now serve as simply the foundation for a more complex benefits program needed for remote and hybrid/onsite workers. If we learned anything from the Great Resignation of 2021-2022, it’s that employees need and are demanding more support from employers in terms of their physical, mental, emotional, and

Home » DCAP » Page 2

What is a Section 125 Cafeteria Plan?

A Section 125 Cafeteria Plan is an employer-sponsored benefits program that lets employees pay for certain qualified medical expenses, such as health insurance premiums, on a pre-tax basis. It’s called a “cafeteria plan” because, like the dining options at a cafeteria, employees can pick and choose the healthcare options they want, such as medical, dental, vision, and other benefits, while declining ones they don’t. It’s important to note that a Section 125 Cafeteria Plan does

Home » DCAP » Page 2

IRS Confirms Claim Substantiation Requirements

In a recent memorandum (TAM 202317020) from the Office of Chief Counsel, the IRS addressed claims substantiation requirements for reimbursement of medical and dependent care expenses from FSA accounts. The memo also described the tax consequences of not complying with claims substantiation requirements. This memo is vital for FSA administrators because it confirms the IRS’s position that ALL medical and dependent care claims must be substantiated in order to avoid major tax penalties resulting from

Home » DCAP » Page 2

Summer Camps and DCFSAs

Thanks largely to COVID, summer camps have been widely unavailable for the last couple of years. It’s very welcome news that camps are now back, all across the country. Even better, parents can use their pre-tax dependent care dollars to pay camp fees. Summer Camp Costs There are numerous options for children’s summer activities, including various age-appropriate, themed experiences and durations. For camps with significant academic components or more complex themes (usually targeted at older

Home » DCAP » Page 2

Healthcare Consumerism Continues to Rise

Healthcare consumerism is a movement to make healthcare services more efficient and cost-effective. It transforms an employer’s health benefit plan, putting the economic purchasing power and decision-making in participants’ hands. Consumerism aims to enable patients to become wholly involved in their healthcare decisions. What drives healthcare consumerism? Customers can access features, benefits, and cost comparisons in most industries to guide their purchasing decisions. In contrast, the healthcare industry presents many choices, contact points, and service

Home » DCAP » Page 2

Millennials, HDHPs and HSAs

Popular with Millennials, HDHPs paired with HSAs can help employers improve employee satisfaction with healthcare benefits. Millennials are Embracing HDHPs Millennials are active supporters of consumer-directed healthcare. Now in their late 20s through early 40s, they tend to be healthier than their older workforce peers (Gen X and Baby Boomer generations) and, on average, spend less on healthcare costs. Nearly half of Millennials who are eligible for an HSA through their employer are adopting one.

Home » DCAP » Page 2

Employer-Sponsored Debit Cards Make Life Easier

In today’s fast-paced world, debit cards provide an efficient payment method for consumers everywhere. Providers can automatically track purchases, and the cardholder can easily view and manage activity online. Additionally, debit cards are accepted all over the world. For Third-Party Administrators (TPAs), account-linked debit cards can help control costs through more efficient benefits administration. Many TPA clients are savvy employers who incorporate them into their employee benefits offerings. This option allows companies to attract and

Home » DCAP » Page 2

Use Your FSA to Stock Up On Back-To-School Supplies

The annual school supplies shopping trip can be an expensive endeavor. Did you know that some items commonly found on classroom supply lists are eligible for FSA accounts? Read on to learn more. FSA for Back-to-School Basic first-aid supplies and COVID-related PPE, including masks and hand sanitizer, are on many back-to-school supply lists this year. These are eligible for purchase with FSA funds. Many families also use back-to-school shopping time to buy over-the-counter medications that

Home » DCAP » Page 2

Tax Relief Changes for CTC and DCAP

In response to pandemic-related dependent care challenges, the American Rescue Plan Act (ARPA) added temporary relief to the Child Tax Credit (CTC) program for 2021. The changes were expected to become permanent, but as 2021 ended, the legislation to achieve this did not pass. Now, qualified parents/guardians will be receiving refundable balances due as part of their 2021 tax return. More information on this, along with tax relief changes to Dependent Care Assistance Program (DCAP) for 2022, are

Home » DCAP » Page 2

Heart Health in Women

According to the Centers for Disease Control and Prevention, heart disease is the leading cause of death for both African American and Caucasian women. Despite the launch of numerous awareness initiatives, only a little more than half of women understand the risks. With understanding comes preventative measures. So let’s look at what heart disease is and what we (especially women) can do about it. What is heart disease? “Heart disease” includes a variety of conditions

Home » DCAP » Page 2
+ More