PARTNER | Spending Account Service Center
Flexible Spending Accounts
These accounts allow employees and their families to use pre-tax monies to cover deductibles, copays and other non-covered eligible expenses. Employees can elect to have up to $3,300 deducted annually for the Healthcare FSA and $5,000 for the Dependent Care Plan.
Flexible Spending Accounts
A Healthcare FSA empowers you to set aside pre-tax money from every paycheck to help pay for qualified medical expenses. Choose a Spending Account Service Center FSA and see how easy it is to spend and save like a pro.
- Annual Max | $3,300 Per Year
- Put more money in your pocket
- Access funds at the start of the year
- Spend beyond the doctor′s office
- Join millions of flexible spenders!
Dependent Care Spending
Set aside pre-tax money from every paycheck to help pay for dependent care expenses. A qualifying ‘dependent’ may be a child under age 13, a disabled spouse, or an older parent in eldercare.
- Annual Max | $5,000 Per Year Per Household
- Daycare, nursery school and preschool
- Summer day camp
- Elder daycare
- Before and after school programs
RESOURCE LIBRARY
FSA TIPS & DEADLINES
Estimate your expenses carefully before you enroll—The key to making FSAs work for you is to use your FSA for predictable expenses – in other words, expenses you know you will incur during the plan year. For example, if you take medication every day (such as blood pressure or cholesterol medication), you could put money in your FSA to cover your prescription drug copays.
Be sure to spend your money on time.
HealthCare Flexible Spending Account’s allow you to help pay for your eligible healthcare expenses on a pre-tax basis. The healthcare reimbursement account annual maximum for 2025 is $3,300. You can elect to contribute towards this account and your pretax deductions will be made bi-weekly. A debit card is available to help make the claim submission process easy. But, for some of us, we may still choose to use a good old fashioned claim form. It’s your choice.
The funds you elect are available to you from the start of the plan year. For 2024 Health Care FSA plan year members, you will have until 12/31/2024 to incur claims, any amounts below $100 or over $640 leftover beginning 1/1/2025 will be forfeited. Claims for reimbursement must be submitted by 3/31/2025 for qualified expenses incurred prior to 12/31/2024.
Please Note: The carryover amount for the 2024 plan year into 2025 has been increased to $640.
With a Dependent Care Flexible Spending Account You can contribute up to $5,000 each year on a pre-tax basis to help pay for care for your eligible dependents so that you (and your spouse if you’re married) can work or look for work. This limit will be reduced to $2,500 if you are married and filing a separate tax return. You may only use the funds that are available in your account, not the entire annual election.
The funds available in your account will be the amount deducted from your paycheck at that point in time, the full amount is not available from the start of the plan year. Qualified dependent care expenses must all be incurred by 12/31 each year. Any remaining balances will be forfeited. For new 2024 election you will need to incur all claims by 12/31/2024 and you will have until 3/31/2025 to submit your claims for reimbursement for qualified dependent care expenses incurred prior to 12/31/2024.
There is no carryover of unused Dependent Care FSA funds.
Please note: Your contributions to the Healthcare and/or Dependent Care FSA may be adjusted due to the Non-Discrimination Testing, which is required by the IRS.
HOW A DEPENDENT CARE FSA WORKS?
With a dependent care FSA, you are able to make pre-tax payroll contributions to pay for dependent care expenses.
- Determine the amount you would like to contribute for the year. The maximum annual dependent care FSA election allowed is $5,000 per household. Unlike medical flexible spending accounts, your annual dependent care FSA funds are not available upfront. Funds are only accessible as they are deposited with each payroll deduction.
- Pay dependent care costs out-of-pocket.
- Submit expenses for reimbursement through the dependent care FSA Administrator.
Notice for Highly Compensated Employees
The IRS allows pre-tax contributions to FSAs as long as the plan does not favor highly compensated employees (HCE) as defined by the IRS. There are multiple components of the cafeteria plan non-discrimination testing (NDT) and multiple definitions of which employees qualify as highly compensated, including annual compensation
The IRS determines whether a plan discriminates in favor of HCEs by looking at the ratio of participation between Highly Compensated Employees (HCEs) to Non-Highly Compensated Employees (NHCEs). In accordance with IRS regulations against discrimination, NantWorks & Affiliates examines FSA plans each year to ensure that they do not disproportionately benefit employees the IRS considers “highly compensated.” Therefore, if at any time during the year that ratio is not being met, NantWorks & Affiliates will reduce contributions made by HCEs to ensure compliance with IRS rules.
COMMON ELIGIBLE EXPENSES
Check out a complete list of eligible expenses:
Health Care FSA Eligible Expenses
Dependent Care Eligible Expenses
To View the Full IRS list, you can find all those expenses here:
Spending Account Service Center Guide & Forms
MyChoice- Documents (Run-out)
During open enrollment at the beginning of each plan year, sign up to participate in an FSA. Select the option that best meets your needs and then determine the amount you would like to contribute from your pre-tax earnings.