Health Care FSA

A Health Care Flexible Spending Account (FSA) allowsyou to set aside pre-tax dollars for eligible medical, dental, and vision expenses for you and your dependents – even if they’re not covered under your primary health plan.

You choose an annual election up to $3,200 in 2024. At the beginning of the plan year, your account is pre-funded and your full contribution is immediately available. Your contribution is then deducted from your paychecks in equal amounts throughout the year.

Contributions to an FSA are deducted from your paycheck on a pre-tax basis, reducing your taxable income. You can increase your spendable income by an average of 30% of your annual contribution with the tax savings.

Annual contributions may not exceed $3,200 per year, as determined by the IRS.

An FSA covers eligible expenses for you and all of your dependents, even if they are not covered under your primary health plan.

If you have a benefits card, simply swipe it at the register. Otherwise, just file a claim including the receipt documenting the type, amount and date. Once approved, your reimbursement check will be mailed or deposited into your bank account.

Be sure to only allocate dollars for predictable medical expenses. Any unused funds at the end of the plan year are typically forfeited, also called the use-it-or-lose-it rule.