Caregiving Spending Account eligibility standards
Understand what a Caregiving Spending Account is, how it works, what to include categorically, and the top items to cover - plus compliance protips!
In this piece
Support caregivers and their unique needs
A Caregiving Spending Account is an employer-sponsored benefit that prioritizes the needs of caregivers and those receiving care. The program can encompass a variety of options that help ensure that employees and their loved ones, such as those with disabilities, elders/parents, and children, receive the best of care.
Note: In most cases, funds are treated as taxable income.
How a Caregiving Spending Account works
Given how personal and unique caregiving is, bespoke solutions like Lifestyle Spending Accounts (LSAs) can move the needle and provide personalized support for your employees.
- Employers consolidate caregiving benefits for employees into one holistic offering.
- Employees choose options based on who they are supporting, where they are, and what can help the most.
Why a Caregiving Spending Account is important
Odds are your workers need help supporting a child, parent, extended family member, pet, neighbor, or some combination of these groups. According to Harvard Business, nearly three out of every four employees are currently juggling caregiving responsibilities for their loved ones. Sandwich generation caregivers - who care for both parents and children - roughly ages 35 to 64 are more likely to be working while performing their caregiving responsibilities. On average, family caregivers spend more than a quarter of their income on caregiving-related activities. Companies can provide a Caregiving LSA that includes both health-related and enjoyment-related expenses to help offset costs, reduce stress, improve productivity, and drive engagement.
As a leader in the flexible benefits space, we have the industry's first eligibility standards for customizable spending accounts. You can download a copy of the standards set for a Caregiving Spending Account here or by clicking the below image.
You can access a preview of what you'll find in the Caregiving Spending Account eligibility standards below.
Get help building a custom Caregiving Spending Account
The Forma team can offer guidance - backed by data - as you explore your options. For more information or support, <span class="text-style-link text-color-blue" fs-mirrorclick-element="trigger" role="button">schedule a consultation</span> with one of our experts. We’d be happy to help!
Continue reading to view the Caregiving Spending Account eligibility standards.