Participating in the Flexible Spending Account (FSA) available through your Employer can increase your take-home pay by reducing your taxable income.It allows you to potentially save up to 30% on your eligible healthcare and/or dependent care expenses every year by using pre-tax dollars vs. post-tax dollars to pay for those expenses.We recommend prior to making an election, you consider and derive a conservative estimate of how much you spend on healthcare and/or dependent care expenses for you and your qualified dependents in one year. For example, you may want to consider your estimated cost for prescription drugs, medical and dental office visit co-pays and/or deductibles, as well as vision related needs including exams and prescription glasses/lenses.You may roll over up to $500 of unused Healthcare FSA funds. Please review the plan documents for more details on the maximum contributions you can make toward the healthcare and/or dependent care Flexible Spending Account.Please note:
The plan year runs from July 1, 2022 until June 30, 2023.
Once you enroll and elect your FSA amount, you cannot make changes unless there’s a family status change
Any balance remaining in your Dependent Care FSA account at the end of the plan year will be lost if not used.
You cannot transfer funds between the account. It is prohibited.
You must make a new FSA election each year at Open Enrollment for the benefits the following plan year. ( This benefit does not roll over).
Medical Expense Account: You may set aside up to $2,700 in pre-tax dollars to be used to pay for qualified medical expenses that may not be covered under your major medical plan. The services must be incurred during the FSA plan year and be qualified eligible expenses under the plan. Expenses must be incurred before reimbursement can be made. If medical expenses or supplies are covered under your major medical plan. your claims must be submitted under your major medical plan and an Explanation of Benefits (EOB) obtained from the carrier.Dependent Care Account: Reimbursements for child and dependent care cannot exceed $5,000 per year for single tax filers and if filing jointly, or married filing separate is $2,500, or the earned income of you and your spouse is less. Your dependent child must be 12 years of age and under and must reside with you. Your child or dependent over the age of 12 must be incapable if self-support and must spend 8 or more hours per day in your home. The individual caring for your child (age 12 and under) or other dependent must not be a tax dependent for you. The child (age 12 and under) or other dependent must require care so that you can work. To be deducted from your account, the caregiver expense must be incurred during the plan year. An adult dependent must be unable to care for him or herself without assistance. Generally, use for the DDC account eliminations your childcare deduction on your state and federal income tax. You are required to disclose who provided the care for you dependent child or adult dependent on your federal income tax return. We recommend you consult with your personal tax adviser.Take a glance at Medical and Dependent Care eligible expenses.