Vendor Update - Optum Financial
ConnectYourCare is now part of Optum Financial. Optum Financial will replace the ConnectYourCare name and brand throughout the member experience.
- Customer service offerings will remain the same.
- Payment cards will not be reissued - use the same card until it expires.
- Use the same online account and mobile app to manage your account
A Dependent Day Care Account is a pre-tax benefit used to pay for eligible day care expenses for qualified dependents in order for you (or your spouse) to work, look for work or attend school full-time.
What are the benefits?
- Pre-tax contributions reduce your taxable income.
- Your Dependent Day Care Account funds become available to you as payroll deductions are taken.
- Easiest way to pay for everyday out-of-pocket eligible dependent day care and/or elder care expenses, with tax-free money.
- Multiple self-service tools available to easily manage your Dependent Day Care Account and reimbursement transactions.
- Note: Dependent day care costs can only be reimbursed from the Dependent Day Care Account through a manual claims processing and not on the payment card.
- You can easily submit requests for reimbursement through your Optum Financial/ConnectYourCare Online account.
How does it work?
- Use our tax-savings calculator or annual expense estimate worksheet to help determine how much you should contribute per year.
- Your annual contribution is deducted pre-tax from your paycheck in equal amounts throughout the plan year and deposited into your Dependent Day Care Account.
- The Dependent Day Care Account is a money-in money-out benefit. Each pay period a contribution posts to your account, after which you may submit reimbursement requests for eligible expenses.
- Manage your account 24/7 via the Optum Financial/myCYC mobile app or CYC Online account.
Most full-time or part-time state and university employees are eligible to participate in a Dependent Day Care Account.
For a married individual to be eligible for the Dependent Day Care Account, your spouse must be unable to provide dependent day care and/or elder care because he/she works full-time, is actively looking for work, enrolled in or attending school full-time, or physically/mentally incapable of self-care.
- Employees who are classified as fellows, scholars and research assistants in the University of Wisconsin System, as well as limited term employees, student hourlies, per diems and other temporary employees.
Any unused Dependent Day Care Account funds at the close of the plan year will be forfeited.
- For 2020 benefit period, you must incur all eligible expenses by December 31, 2020.
- For 2021 benefit period, you must incur all eligible expenses by December 31, 2021.
- For 2020 benefit period, you must submit all reimbursement requests by March 31, 2021.
- For 2021 benefit period, you must submit all reimbursement requests by March 31, 2022.
Review all claims and provide any required substantiation by December 31 each year.
An eligible expense is a dependent care expense the IRS states can be paid for without taxes. Eligible expenses may only be incurred by your qualified dependent(s). Health care expenses are not eligible.
How should I keep track of my eligible expenses?
You should keep all your receipts and pertinent documentation to prove your Dependent Day Care Account was used for eligible dependent care expenses. If you pay for anything other than eligible expenses with your Dependent Day Care Account, the amount will be taxable, and you will be required to repay the amount or pay an additional tax penalty.
Learn how to enroll in an a pre-tax savings/employee reimbursement account, whether you are enrolling during open enrollment, as a new hire or when you have experienced a qualifying life event.Read More about Enrollment Information
You will receive a welcome brochure in the mail from ConnectYourCare.