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Fontbonne University
Flexible Spending Accounts Healthcare FSA
Why Section 125 Flexible Spending A healthcare FSA provides you
with the ability to save money on a
(Reimbursement) Accounts? pre-tax basis for any IRS-allowed
Fontbonne University sponsors a Section 125 lexible spending plan health expenses not covered by
which lets you redirect a portion of your pay through payroll deduction your healthcare coverage. These
into healthcare and dependent care reimbursement accounts. You may expenses include deductibles,
be reimbursed from your accounts as you incur eligible dependent care copays and coinsurance payments,
expenses as well as expenses not covered by health, dental, or vision routine physicals, uninsured dental
insurance. The money which goes into your FSAs is deducted on a pre- expenses, vision care expenses
tax basis, which means it is deducted from your pay before federal and (e.g., eyeglasses or contact lenses),
Social Security taxes are calculated. Because you do not pay taxes on and hearing care expenses (e.g., a
money which goes into your FSA, you decrease your payroll tax liability hearing exam or a hearing aid).
and potentially reduce your Federal income tax liability, thus increasing
your net money. BeneFLEX is the third party
administrator for our FSA plans.
How Do FSA Contributions Work? Participants in the HSA Plan
Per IRS guidelines, you may deposit up to $2,650 (pre-tax) for the 2018 cannot participate in the
plan year into your healthcare FSA to cover you and your dependents Healthcare FSA except on a
during the plan year. So how much money should you put into your “Limited FSA” basis, which allows
accounts each pay period? That depends on your eligible expenses. The for immediate access to funds for
best way to estimate your expenses for the upcoming year is by looking dental and vision expenses.
over the eligible expenses you incurred over the past few years. Divide
the total predictable expenses by the number of pay periods in the plan
year. The resulting number represents the amount you should consider
contributing each pay period to your reimbursement accounts.
Pre-tax contributions are withheld from each paycheck.
Rollover Provision
If, at the end of the plan year, you have unused funds remaining in your
FSA, Fontbonne will allow you to roll over up to $500 to be used on
qualiied medical expenses in the next year. If your FSA balance exceeds
$500 on December 31, 2018, anything over $500 will be forfeited.
13
Flexible Spending Accounts Healthcare FSA
Why Section 125 Flexible Spending A healthcare FSA provides you
with the ability to save money on a
(Reimbursement) Accounts? pre-tax basis for any IRS-allowed
Fontbonne University sponsors a Section 125 lexible spending plan health expenses not covered by
which lets you redirect a portion of your pay through payroll deduction your healthcare coverage. These
into healthcare and dependent care reimbursement accounts. You may expenses include deductibles,
be reimbursed from your accounts as you incur eligible dependent care copays and coinsurance payments,
expenses as well as expenses not covered by health, dental, or vision routine physicals, uninsured dental
insurance. The money which goes into your FSAs is deducted on a pre- expenses, vision care expenses
tax basis, which means it is deducted from your pay before federal and (e.g., eyeglasses or contact lenses),
Social Security taxes are calculated. Because you do not pay taxes on and hearing care expenses (e.g., a
money which goes into your FSA, you decrease your payroll tax liability hearing exam or a hearing aid).
and potentially reduce your Federal income tax liability, thus increasing
your net money. BeneFLEX is the third party
administrator for our FSA plans.
How Do FSA Contributions Work? Participants in the HSA Plan
Per IRS guidelines, you may deposit up to $2,650 (pre-tax) for the 2018 cannot participate in the
plan year into your healthcare FSA to cover you and your dependents Healthcare FSA except on a
during the plan year. So how much money should you put into your “Limited FSA” basis, which allows
accounts each pay period? That depends on your eligible expenses. The for immediate access to funds for
best way to estimate your expenses for the upcoming year is by looking dental and vision expenses.
over the eligible expenses you incurred over the past few years. Divide
the total predictable expenses by the number of pay periods in the plan
year. The resulting number represents the amount you should consider
contributing each pay period to your reimbursement accounts.
Pre-tax contributions are withheld from each paycheck.
Rollover Provision
If, at the end of the plan year, you have unused funds remaining in your
FSA, Fontbonne will allow you to roll over up to $500 to be used on
qualiied medical expenses in the next year. If your FSA balance exceeds
$500 on December 31, 2018, anything over $500 will be forfeited.
13
