Types of Flexible Spending Accounts
Determining the Plan that is best for you.
1. Flexible Savings Accounts (FSA) allow you to pay for your portion of premiums
required for health plans and other insurance plans provided by your employer
with pretax dollars. If you are covered under your employer's health and/or other
employer sponsored insurance plans, such as group life insurance, dental and
vision insurance, you may be automatically enrolled in this account!
2. Healthcare Reimbursement Accounts (HRA) will reimburse you for healthcare
expenses not covered by insurance. You set aside money, tax-free, through regular
payroll deductions. During the year, you can be reimbursed directly from your
account for those qualified healthcare services, provided that they are not covered
Common expenses that qualify for reimbursement are deductibles, co-payments, prescriptions, mental health care, dental services and orthodontics, chiropractor services, eye glasses and contacts.
3. Dependent Daycare Accounts (DCA) will reimbursement you for dependent care expenses for eligible children and adults that are necessary for you and your spouse (if married) to be gainfully employed. Through regular payroll deductions, you set aside part of your income to pay for these expenses on a tax-free basis. Qualified expenses for reimbursement include - adult and child daycare centers, preschool and before/after school care.
To qualify, your dependents must meet the following requirements:
- resides with the participant
- be a child under the age of 13
- be a child, spouse or other dependent who is physically or mentally incapable of self-care.
Please note: A dependent care credit is available on your annual tax return. Whether or not you should
participate in the daycare portion of this plan depends on your income, filing status, number of dependents
and annual daycare expenses. But by enrolling in Dependent Care Account Plan, you will also receive your
tax savings throughout the year, rather than once a year when you file your tax return.
4. Additional Benefits may be available through your employer, such as accident insurance, cancer insurance, critical illness insurance and heart/stroke insurance, in addition to the programs described above. Your Human Resource Department should send notification, along with their enrollment brochure, if any such additional benefits are being offered at this time.
Phone 800.562.9383 Fax 916.921.3383
Click here to obtain answers for some frequently asked questions
about Flexible Spending Accounts.
Integrity Administrators, Inc.
EXCELLENCE IN THIRD PARTY ADMINISTRATION
**Note: Enrollment in a Flexible Spending Account may reduce your future Social Security benefits.
You may wish to discuss your Flexible Spending Account participation with your accountant or attorney.
Integrity Administrators does not provide tax or legal services.