Certain Graduate Students Eligible For New Benefit In UCPath
Good news for Graduate Student Researchers and Academic Student Employees with families. When UCPath goes live, students who are hired at 43.75 percent time or more for at least 3 months will be eligible to opt for a Dependent Care Flexible Spending Account (DepCare FSA).
If you’re not familiar with it, the DepCare FSA is used to pay for eligible caregiving expenses for your children up to age 13 or an eligible adult dependent. You set aside money for your DepCare FSA from your paycheck on a pre-tex basis and use those funds to pay for eligible DepCare expenses. Here are some details on how the plan works.
- You must enroll annually, usually during a period of eligibility or during Open Enrollment, to participate.
- You specify an amount to be taken from your paycheck each month and deposited in your Dependent Care FSA.
- When you incur eligible expenses, you submit a claim form and appropriate documentation of these expenses to WageWorks (formerly CONEXIS). WageWorks then reimburses you from the funds in the appropriate account. You must submit claims no later than April 15 (grace period) of the following year to receive reimbursement.
- Because the FSA contributions are deducted from your paycheck before taxes are withheld, your taxable income is reduced, and you save money on taxes. Your savings will depend on your particular tax situation.
- Note: any money you don’t use in your DepCare FSA during the year and its grace period will be forfeited—so it’s important to estimate your expenses carefully. You can’t roll your unused funds over to the next year, nor can you receive the unused portion in cash.
Click here for more information on DepCare FSA and contact your department’s human resources representative to figure out if you’re eligible.