Careful planning for dependent-care flexible spending arrangements.

If your company offers a flexible spending arrangement (FSA) that allows you to pay dependent-care expenses on a pretax basis, proceed with caution. Agree only to make salary contributions that you know you’ll use up within the year (or by the end of the plan’s grace period), but unused amounts can’t be carried over or used for any other purposes. When nearing the end of this year’s FSA period, prepay day care or other qualified expenses to use up your contributions.