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Dependent care FSA 2026: $2,000 YTD → $3,000 left under the $5,000 cap

IRC 129 caps a dependent-care FSA at $5,000 per household ($2,500 if married filing separately). The figure is statutory, not a COLA. $2,000 already elected leaves $3,000. This is not the child-care tax credit.

Calcufast Team
8 min

A dependent-care flexible spending account (DCAP) lets you set aside pre-tax pay for qualifying child or dependent care. IRC 129 caps the exclusion at $5,000 per household, or $2,500 if you are married filing separately. That dollar figure is written into the statute. It does not rise with inflation.

$2,000 already contributed: room left $3,000.

Run the dependent-care FSA calculator →

Not the child-care credit

This is the cafeteria-plan exclusion. Form 2441 (child and dependent care credit) is a different computation. Your plan can be tighter than $5,000. Unused amounts are often forfeited. Estimate, not tax advice.

Direct answer: $2,000 → $3,000

  1. Household cap (not MFS) = $5,000
  2. Room = $5,000 − $2,000 = $3,000
  3. Excess = $0
DCAP room (IRC 129)

cap = $5,000, or $2,500 if married filing separately remaining = max(0, cap − YTD) excess = max(0, YTD − cap)

Checks you can re-run

FilingCapYTDRemaining
Single / MFJ$5,000$2,000$3,000
Married filing separately$2,500$0$2,500
Single / MFJ$5,000$5,000$0
Single / MFJ$5,000$5,500$0 (excess $500)

The $5,000 is a household cap, not a per-child cap. Two kids do not make it $10,000.

Paycheck and the other FSA

Dependent-care elections usually reduce FIT and FICA wages the same way other §125 amounts do. They are not a 401(k). For medical HDHP savings, use HSA contribution room. For the stub after FICA and FIT, use paycheck take-home.

What this is not

  • Not a health FSA. Health FSAs have a different IRS dollar limit and different carryover rules.
  • Not Form 2441. You generally cannot double-dip the same expenses.
  • Not an HSA. Different eligibility, different cap.

Not under IRC 129. The engine still uses $5,000 / $2,500.

$2,500 each under the MFS rule in this tool.

Room is $0. Excess shows as $500. The plan should not treat the extra as an IRC 129 exclusion.

Official sources

26 U.S.C. § 129 · Publication 503 (dependent care)

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