A Dependent Care FSA is a special type of flexible spending account that lets you set aside tax-free money for the care of dependent family members like children or disabled adults. It can cover expenses like daycare, preschool, or adult daycare, among other things. The rules include tax-free contributions and withdrawals, a $5000 annual contribution limit, that the account is not “portable” and has a “use-it-or-lose-it" policy. Plus, you can only adjust your contribution once a year, and any unused funds at year-end may be carried over or used with an extension, depending on your employer’s policy.