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yem81
New Member

I have unclaimed funds in my2019 childcare FSA, is there any way to get that back or take a deduction? I did have qualifying expenses for 2019.

 
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2 Replies
Carl
Level 15

I have unclaimed funds in my2019 childcare FSA, is there any way to get that back or take a deduction? I did have qualifying expenses for 2019.

You need to communicate with the administrator of the FSA. Rules differ from one plan to another, as well as from one provider/employer to another. Generally, you have until March 15th of the year following the contributions, to use that money for whatever qualified expenses your plan allows. You need to ask your plan administrator this question.

 

I have unclaimed funds in my2019 childcare FSA, is there any way to get that back or take a deduction? I did have qualifying expenses for 2019.

probably not.  a FSA is a use it or lose it employee benefit amount.  some companies will give you a few months in 2020 to submit expenses for 2019 but after that, under the tax laws, the balance must be forfeited.  The employer gets to use those funds to defray administrative expenses of the plan.   returning the money to the employee could result in the IRS disqualifying the plan. with a FSA either you weren't taxed on the amount the employer contributed and/or if it came out of your paycheck your taxable wages were reduced.  thus no deduction is available. 

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