Presentation on theme: "1 Flexible Benefits Administration Services for. 2 What is a Flexible Spending Account Flexible Spending Accounts save you money Lowers your taxable."— Presentation transcript:
2 What is a Flexible Spending Account Flexible Spending Accounts save you money Lowers your taxable income Increases your spendable income Use FSA money for health care and dependent day care expenses
3 How Much Could You Save? With FSAsWithout FSAs Monthly gross pay$2,500 Pre-tax contributions to FSA Dependent day care Health care $300 $100 $0 Taxable Income$2,100$2,500 Less federal, state, FICA taxes$790.65$941.25 After-tax monthly pay$1,309.35$1,558.75 After-tax expenses Dependent day care Health care $0 $300 $100 Net spendable income$1,309.35$1,158.75 Monthly savings$150.60$0 Annual savings$1,807.20$0
4 How Flexible Spending Accounts Work Set aside a certain amount of your paycheck before taxes are deducted. Money is used for eligible health care and dependent day care expenses. You choose how much to contribute to the account.
5 Flexible Spending Account Limits Health Care FSA Maximum Annual Contributions:$2,500 ( for August 1, 2013 to July 31, 2014.) Eligible Expenses:Deductibles, co-pays and other expense not covered by insurance Prescription drugs and medical supplies Dental, orthodontics Vision, eye glasses, contacts, eye surgery Over the counter items* *Effective 1/1/11, the list of eligible OTC items is changing per the Patient Protection and Affordable Care Act of 2010.
6 Dependent Day Care FSA Maximum Annual Contributions: $5,000 married/joint return for August 1, 2013 to July 31, 2014. $2,500 married/separate return Eligible Expenses:Child care, non-residential summer camps, and elder care that you find necessary to work Eligible Dependents:A child under age 13 that you claim as a dependent. A spouse or other dependent who is physically or mentally incapable of caring for self. Flexible Spending Account Limits
7 Know your plan’s details FSA elections only made at annual enrollment, when you join the company, or have a “qualifying event” Use-it-or-lose-it Rule Reimbursement options: Debit Card Online Claim Submission Hard-copy claims mailed or faxed
8 Keep your Receipts SHDR may asks for receipts based on IRS guidelines (especially for dental services) Welcome packet will include an envelope to store your receipts Use of debit card at certain IIAS merchants may prevent receipt request
9 Simple Access to your FSA Account Toll-free call center – 1-800-930-2441 8am – 6pm ET Access account balance 24/7 1- 800-413-6706 Interactive website – www.shdr.com/flexwww.shdr.com/flex Enter claim online Access forms, eligible expense list, account balances and plan specifics IIAS Merchant Listing