Page 16 - GXO New Hire Guide

More tax-free savings accounts
Simple. Use tax-free dollars to pay for dependent care or commuting expenses.
DCFSA
Dependent Care Flexible
Spending Account
The DCFSA allows you to set aside up to $5,000 pre-tax (up to $2,500 if married filing separately)
for eligible day care costs for children under age 13 or dependent parents. Day care expenses include nursery schools, day care centers, adult day care centers, in-home providers and before- and after- school care. Unlike the HCFSA, you can only be reimbursed with money actually in your account. It’s important to estimate carefully. Typically, any balance remaining at the end of the year will be forfeited. However, for the 2021 plan year GXO will carry over any unused balance into 2022 based on special tax rules in effect for a limited time.
Please note: The IRS limits the amount highly compensated employees can contribute to the DCFSA. If your annual pay is $130,000 or more, your contributions will be capped at $750 in 2021.
Regardless of your income, consider consulting your tax advisor on how to get the full child care tax credit on your tax return.
CSA
Commuter Spending Account
The CSA lets you set aside pre-tax dollars to pay eligible mass transit and/or parking expenses. The program, administered by PayFlex, offers the convenience of automatic payroll contributions and a CSA debit card. (Family members aren’t eligible.) You can enroll in, change or stop participating in commuter accounts at any time through https://myGXO.GXO.com or by calling the GXO Benefit Center.
The 2021 limits are:
• $270 per month for transit expenses • $270 per month for parking expenses
If you enroll, you’ll receive a debit card you can use to pay for eligible expenses.
14 I Accounts