Page 18 - Future Steps
P. 18
Benefits Enrollment
Flexible Spending Account
Dependent Care FSA
NISC gives you the opportunity to pay for eligible out-of-pocket
dependent care expenses with pre-tax dollars through our lexible
spending account (FSA). This plan is administered through BeneFLEX.
Dependent Care
Annual maximum contribution $5,000
Expenses must be incurred by December 31
Expenses must be submitted for reimbursement by March 31 of the following year
Careful consideration should be taken to estimate the cost for dependent
care expenses, as any unused portion will be forfeited.
FSA Example
Without FSA Pre-tax With FSA Pre-tax
Savings Savings
Annual Base Pay $60,000 $60,000
Dependent Care Account Expenses -$0 -$5,000
Annual Taxable Income $60,000 $55,000
Estimated Federal Income Taxes -$10,500 -$9,500
After-Tax Cost of Expenses -$5,000 -$0
Annual Net Pay $44,500 $45,500
Tax Savings $1,000
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Flexible Spending Account
Dependent Care FSA
NISC gives you the opportunity to pay for eligible out-of-pocket
dependent care expenses with pre-tax dollars through our lexible
spending account (FSA). This plan is administered through BeneFLEX.
Dependent Care
Annual maximum contribution $5,000
Expenses must be incurred by December 31
Expenses must be submitted for reimbursement by March 31 of the following year
Careful consideration should be taken to estimate the cost for dependent
care expenses, as any unused portion will be forfeited.
FSA Example
Without FSA Pre-tax With FSA Pre-tax
Savings Savings
Annual Base Pay $60,000 $60,000
Dependent Care Account Expenses -$0 -$5,000
Annual Taxable Income $60,000 $55,000
Estimated Federal Income Taxes -$10,500 -$9,500
After-Tax Cost of Expenses -$5,000 -$0
Annual Net Pay $44,500 $45,500
Tax Savings $1,000
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