Flexible Spending Arrangement
Health Flexible Spending Account
The Health FSA allows your employees to use pre-tax deductions from their paychecks, or employer funding, to pay for any qualified health expense. Participant elections are made once per year, during the open enrollment, or when a qualifying life event is met. Unused amounts at the end of the plan year are forfeited to the plan – the infamous Use-It-or-Lose-It rule. Qualified expenses include medical, dental, vision, and prescription costs. Other expenses, like over-the-counter drugs, can be eligible with a doctor’s approval.
Limited Purpose FSA: Eligible to reimburse only dental and vision expenses
Post-Deductible FSA: Reimburses dental and vision expenses only, until the IRS statutory deductibles are met where it converts to a full FSA, able to reimburse all FSA eligible expenses
Combination Limited Post-Deductible FSA: Reimburses dental and vision expenses; after the IRS statutory deductibles are met, eligible to reimburse all FSA expenses
Defining an FSA
What an FSA Allows You to Do
Contributions Are Deducted Each Pay Period. With an FSA, you elect to have contributions deducted from your paycheck, in equal installments, until you reach the yearly maximum that has been specified.
Immediate Tax Savings. The dollars deducted from your paycheck that go into your FSA will not count as taxable income.
Medical Expense Reimbursement. A Healthcare FSA allows the reimbursement of any qualifying medical expenses that were paid for out-of-pocket.
Limited Purpose Medical FSA & Limited FSA. A Limited Purpose Medical FSA works with a qualified, high-deductible health plan (commonly known as HDHP) and a Health Savings Account (HSA). A Limited FSA will only reimburse for vision and dental expenses.
Dependent Care FSA. Reimbursements of dependent care expenses for eligible dependents, like daycare, are allowed by a Dependent Care FSA.
Enjoy Tax Savings.
Fast, Easy Access to Funds. Using your prepaid benefits card or requesting to have funds directly deposited to your bank account, quick and easy access to your funds is possible.
Reduce Filing Hassles & Paperwork by Using Your Prepaid Benefits Card.
24/7/365 Secure Access to Your Accounts on Our Consumer Portal.
User-Friendly Mobile App. Manage your FSA at any time, file claims, stay up to date on balances and action required, and get one-click answers to benefits questions.