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What is Coverflex Childcare benefit and how does it work?

This article clarifies the main questions regarding the Coverflex Childcare Benefit.

 

Summary:

 

What is this benefit and what is the associated tax exemption?

Coverflex Childcare vouchers are exclusively used for payment of services or products related to your dependents under 7 years old (exclusive).

Coverflex Childcare vouchers can be issued for daycare centers and/or kindergartens and are exempt from IRS and SS.

Check the list of participating schools in the app. If you don't find the school you're looking for, you can request school enrollment directly in your app. Our team will then contact the school to establish the partnership.

 

What are the payment methods for the Coverflex Childcare Benefit?

You can make this payment directly through your Coverflex app. How? In the Coverflex Childcare section, select the child's name, the school they attend, and the amount you want to transfer. Next, the school will receive an email with all the necessary details for confirmation of the transfer.

 

Do the Coverflex Childcare vouchers have an expiration date?

No. When your Coverflex Childcare voucher is issued, it is immediately allocated to the chosen school.

 

Can I use Coverflex Childcare to pay for school supplies?

Yes, if the invoice is issued by the same entity. To make this possible, we suggest you call the school and confirm the services/products they accept Coverflex Childcare for.

 

Can I use Coverflex Childcare to pay for extracurricular activities?

Yes, if the invoice is issued by the same entity. To make this possible, we suggest you call the school and confirm the services/products they accept Coverflex Childcare for.

 

Are expenses paid with Coverflex Childcare eligible for IRS?

Since Coverflex Childcare is already exempt from IRS, these expenses are not eligible for education deductions. Nevertheless, the school should always issue an invoice in your name or your child's name for the amounts paid with Coverflex Childcare.

 

Can I convert Coverflex Childcare vouchers into cash?

No. Coverflex Childcare vouchers are exclusively used for payment of services or products at participating establishments, and exchanging them, in whole or in part, for cash is prohibited.

 

What is the difference between the Education Voucher and the Childcare Voucher?

The Childcare Voucher is a social voucher used for expenses related to children from 0 to 7 years old (exclusive) enrolled in nurseries, daycares, and kindergartens. This benefit is exempt from IRS and Social Security.

The Education Voucher can be used for expenses related to education, such as tuition fees for study centers, language schools, universities, and also school supplies. This benefit is exempt from Social Security.

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Employees

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