Flexible Spending Accounts

 
Flexible Spending accounts allow employees to pay for eligible medical and/or dependent day-care expenses on a pre-tax basis. Through payroll deductions, money is placed into the Flexible Spending account based on the amount the employee expects to spend on eligible medical expenses or dependent day-care expenses during the plan year. The amount chosen will automatically be deducted from biweekly pay warrants throughout the year before taxes are computed. When an eligible expense is incurred, a claim form is submitted to the People First Service Center, along with the required documentation for reimbursement. The date services are received is the date the expenses were incurred, not when services are paid for. After reviewing an processing a claim, People First issues a check payable from the funds in the Flexible Spending account. The result is that eligible medical and dependent day-care expenses are reimbursed with money that is not taxed; consequently, expendable income is increased.

Medical Flexible Spending Account:

The entire annual deduction amount of a Medical Flexible Spending Account is available at the beginning of a plan year, and employees can file claims for the entire amount and be reimbursed for expenses incurred during the plan year as soon as the plan begins. Participants may use the Medical Flexible Spending Account for the following health care expenses incurred during the plan year (this list in not exhaustive, and there are many other expenses which qualify for reimbursement): deductible amounts paid under the participant’s health care insurance or under a spouse’s plan; co-payments; any qualifying amounts the participant is required to pay for eligible expenses after the maximum benefit under the health care plan has been paid; eye examinations; dental expenses, prescription drugs, and eligible over-the-counter medications.

Annual Pledge Amounts:
Minimum: $60.00
Maximum: $5,000.00


Dependent Day Care Flexible Spending Account:

At any given time, employees can only be reimbursed for Dependent Care expenses up to the amount of the current balance in the Dependent Flexible Spending Account. Qualified expenses are expenses for the care of a qualifying dependent so that the participant (and the spouse, if married) can work, look for work, or attend school.

Annual Pledge Amounts:
Minimum: $60.00
Maximum: $5,000.00 ($2,500.00 if married filing separately)


Consult the Flexible Spending Accounts Reference Guide for further information concerning eligible expenses.

FSA Pledge Calculator

FSA Claim Form