Page 10 - Great Circle 2021 Benefits Guide
P. 10
FSA
What is a Flexible Spending Account (FSA)?
With Medical Plan 1 or 2 you can choose to enroll in a lexible spending account (FSA) which allows you to set
aside pre-tax dollars from your paycheck to cover qualiied expenses you would normally pay out of your pocket
with after-tax dollars. We offer two types of lexible spending account programs.
Healthcare FSA Dependent Care FSA
The healthcare FSA helps you pay for certain IRS-
approved medical care expenses not covered by your The dependent care FSA lets you set aside pre-
insurance plan with pre-tax dollars. The maximum tax dollars to use toward qualiied dependent care.
contribution to the healthcare FSA is $2,750 per The maximum amount you may contribute to the
plan year. dependent care FSA is $5,000 (or $2,500 if married
and iling separately) per plan year. Funds you
Funds you elect to contribute to the healthcare FSA contribute to the dependent care FSA function like a
are available in full on the irst day of the plan year. debit card; you need to accumulate the funds before
For example, if you elect to contribute $1,000, the full you can use them.
election is available to you on day one. You’ll continue
to pay for the election pre-tax from your paycheck This plan requires re-enrollment each year if you wish
throughout the plan year. to participate.
This plan requires re-enrollment each year if you Use It or Lose It
wish to participate. If you are Medicare enrolled and Carefully consider your FSA contribution amounts
actively working you can still participate in the Flexible for the plan year. At the end of the year, you lose any
Spending Account. money left over in your FSA. In the healthcare FSA,
you may rollover up to $500 unused Healthcare FSA
dollars from one year to the next. Employees must
make an active healthcare FSA election each year in
order for the rollover to apply.
Eligible Expenses
Healthcare FSA Dependent Care FSA
Doctor’s visit copays Cost of child or adult daycare*
Prescription drug copays Nursery school
Medical and dental deductibles Preschool (excluding kindergarten)
Over-the-counter medications (with a written * Eligible dependent: tax dependent child under age 13;
prescription) tax dependent spouse, parent, or child unable to care
Hearing aids for themselves .
Eyeglasses
10
What is a Flexible Spending Account (FSA)?
With Medical Plan 1 or 2 you can choose to enroll in a lexible spending account (FSA) which allows you to set
aside pre-tax dollars from your paycheck to cover qualiied expenses you would normally pay out of your pocket
with after-tax dollars. We offer two types of lexible spending account programs.
Healthcare FSA Dependent Care FSA
The healthcare FSA helps you pay for certain IRS-
approved medical care expenses not covered by your The dependent care FSA lets you set aside pre-
insurance plan with pre-tax dollars. The maximum tax dollars to use toward qualiied dependent care.
contribution to the healthcare FSA is $2,750 per The maximum amount you may contribute to the
plan year. dependent care FSA is $5,000 (or $2,500 if married
and iling separately) per plan year. Funds you
Funds you elect to contribute to the healthcare FSA contribute to the dependent care FSA function like a
are available in full on the irst day of the plan year. debit card; you need to accumulate the funds before
For example, if you elect to contribute $1,000, the full you can use them.
election is available to you on day one. You’ll continue
to pay for the election pre-tax from your paycheck This plan requires re-enrollment each year if you wish
throughout the plan year. to participate.
This plan requires re-enrollment each year if you Use It or Lose It
wish to participate. If you are Medicare enrolled and Carefully consider your FSA contribution amounts
actively working you can still participate in the Flexible for the plan year. At the end of the year, you lose any
Spending Account. money left over in your FSA. In the healthcare FSA,
you may rollover up to $500 unused Healthcare FSA
dollars from one year to the next. Employees must
make an active healthcare FSA election each year in
order for the rollover to apply.
Eligible Expenses
Healthcare FSA Dependent Care FSA
Doctor’s visit copays Cost of child or adult daycare*
Prescription drug copays Nursery school
Medical and dental deductibles Preschool (excluding kindergarten)
Over-the-counter medications (with a written * Eligible dependent: tax dependent child under age 13;
prescription) tax dependent spouse, parent, or child unable to care
Hearing aids for themselves .
Eyeglasses
10
