A combination feeder may be utilized to inlay a strand within a knitted component. As an example, the combination feeder may include a feeder arm that reciprocates between a retracted position and an extended position. In manufacturing the knitted component, the feeder inlays the strand when the feeder arm is in the extended position, and the strand is absent from the knitted component when the feeder arm is in the retracted position. A dispensing tip disposed at the end of the feeder arm supplies the strand for inlaying in a location disposed below the intersection of the planes of the needle beds and for one or more of knitting, tucking, and floating in a location disposed above the intersection of the planes of the needle beds.