Dependent Care Reimbursement Account (DCRA) Plan

The CSU Dependent Care Reimbursement Account is a voluntary benefit for eligible employees that offers significant tax advantages and could increase an employee's take home pay. The plan allows for the reimbursement of out-of-pocket dependent care expenses from money deducted from an employee's paycheck before federal, state and FICA taxes are deducted. Taxable income on an employee's annual W-2 statement will be reduced by the amount placed in the account. Expenses eligible to be reimbursed from the CSU Dependent Care Reimbursement Account are expenses for certain dependent care if the care is required in order for the employee (spouse) to work.

ENROLLMENT INFORMATION

• Complete the 2024 Plan Year Enrollment Authorization Form via AdobeSign (Select form name from Workflow Selector Dropdown Menu). If you wish to enroll in the 2023 Plan Year, please send a request to hrbenefits@csusm.edu.
• Can contribute $20 to $416.66 each month ($5,000 annual maximum).
• Deducted from pay before federal, state and Social Security (FICA) taxes.
• Must re-enroll during the annual Open Enrollment Period each fall to participate during the following Plan Year. Enrollment is not automatic, even if the employee participated the previous year.
• If a Participant does not use the money in their account for expenses incurred during the Play Year (including the 2 1/2 month grace period), the funds will be forfeited. Excess contributions may not be refunded to the individual or be carriered over into the next Plan Year.

REIMBURSEMENT INFORMATION

• Enrolled employees can file a claim for reimbursement online (my.asiflex.com) with the ASI-Assigned User ID and password, or by completing a Claim Form, and attaching an itemized bill for dependent care expenses.  Claim forms can either be mailed or faxed to ASIFlex.
• For expenses to be eligible:
  • • Dependent must be a child under age thirteen (13), for whom an employee or spouse can claim dependent status on their income tax return; or
    • A spouse who is physically or mentally unable to care for him/herself; or
    • A financially dependent member* of an employee's household, who regularly spends at least eight hours each day in the employee's home; and
    • Care must be required in order for employee to be gainfully employed and, ir married, spouse also must be employed or actively looking for work.
    • See DCRA Brochure for additional eligibility rules.

*Including an employee's domestic partner if the domestic partner is a dependent.

RECURRING DIRECT PAY PROGRAM

• Effective January 1, 2022, ASIFlex now offers employees enrolled in the DCRA plan a conveient way to pay dependent care providers.
• Employees participating in the new Recurring Direct Pay Program no longer must pay their dependent care provider and submit claims for reimbursement to ASIFlex to take advantage of the pre-tax benefits under the Plan.
• Through an agreement established between the dependent provider, ASIFlex pays the dependent care provider directly from the employee's DCRA account when payment is dur.
• For more details about this program see Recurring Direct Pay Overview.

ADDITIONAL INFORMATION

• The CSU provides a 2 month grace period for employees enrolled in the DCRA plan.  The grace period allows reimbursement of eligible expenses incurred through March 15th of the following year.
• Employees must submit claims no later than June 30th of the following year after the current plan year ends.  After this date, any funds remaining inthe employee's account will be forfeited.
• If an employee is married and filing a separate tax return, the annual maximum is $2,500. If an employee or spouse's earned income is less than $5,000 a year, the maximum contribution is equal to that person's earned income.