Page 16 - GLG 2021 Annual Benefits
P. 16
Flexible Spending
Accounts (FSAs)
GLG provides you with the opportunity to participate in the
following Flexible Spending Accounts: CAUTION! Be sure to use all your
> Healthcare Flexible Spending Account; FSA dollars by the required dates
> Limited Purpose Healthcare Flexible Spending Account; and > The IRS requires that any money
> Dependent Care Flexible Spending Account. left in your FSA at the end of the
year must be forfeited. That’s why
These Flexible Spending Accounts (FSAs) allow you to contribute it’s so important that you plan
money on a pre-tax basis to pay for qualiied healthcare—or your FSA contributions carefully
daycare-related expenses. They can save you money because you and conservatively.
do not pay taxes on the money you contribute to these FSAs. GLG’s > You can rollover up to $550
FSA plans are administered through Chard Snyder. of unused FSA contributions
Do you have to elect an FSA in order to participate? (excluding the DCFSA) that
Yes. You must enroll for each FSA you wish to contribute to during remain at the end of the plan year.
In addition, such carryovers will
the New Hire Enrollment or Open Enrollment period each year—or not count against the annual limit.
you may do so if you have an eligible qualifying life event.
> You will have until March 31st
Can I make changes to my FSA amounts during the year? to submit your claims for the
Generally, no. The IRS requires that pre-tax beneit elections be previous year’s eligible expenses.
maintained throughout the beneit plan year. You can only make
changes to your elections if you have a qualifying life event. Of
course, you can always make changes to your FSA during Open
Enrollment. (see page 7)
How FSAs Work
> You contribute to your FSA account(s) with pre-tax dollars through convenient payroll deductions. This
means you pay no taxes* (federal, state or Social Security) on your contributions. Your Dependent Care FSA
contributions are subject to state income taxes.
> You pay for your eligible healthcare and/or childcare expenses as usual.
Note: Since you don’t pay Social Security taxes on your contributions, your FSA contributions may reduce your wages reported for Social Security purposes.
* Under N.J.S.A. 54A:6-24, the value of a cafeteria plan beneit is excludable from New Jersey gross income. The FSA beneit cannot meet the New Jersey
requirements for excludability. Accordingly, for New Jersey gross income tax purposes, the employee’s full salary, without reduction, is subject to tax withholding.
16
Accounts (FSAs)
GLG provides you with the opportunity to participate in the
following Flexible Spending Accounts: CAUTION! Be sure to use all your
> Healthcare Flexible Spending Account; FSA dollars by the required dates
> Limited Purpose Healthcare Flexible Spending Account; and > The IRS requires that any money
> Dependent Care Flexible Spending Account. left in your FSA at the end of the
year must be forfeited. That’s why
These Flexible Spending Accounts (FSAs) allow you to contribute it’s so important that you plan
money on a pre-tax basis to pay for qualiied healthcare—or your FSA contributions carefully
daycare-related expenses. They can save you money because you and conservatively.
do not pay taxes on the money you contribute to these FSAs. GLG’s > You can rollover up to $550
FSA plans are administered through Chard Snyder. of unused FSA contributions
Do you have to elect an FSA in order to participate? (excluding the DCFSA) that
Yes. You must enroll for each FSA you wish to contribute to during remain at the end of the plan year.
In addition, such carryovers will
the New Hire Enrollment or Open Enrollment period each year—or not count against the annual limit.
you may do so if you have an eligible qualifying life event.
> You will have until March 31st
Can I make changes to my FSA amounts during the year? to submit your claims for the
Generally, no. The IRS requires that pre-tax beneit elections be previous year’s eligible expenses.
maintained throughout the beneit plan year. You can only make
changes to your elections if you have a qualifying life event. Of
course, you can always make changes to your FSA during Open
Enrollment. (see page 7)
How FSAs Work
> You contribute to your FSA account(s) with pre-tax dollars through convenient payroll deductions. This
means you pay no taxes* (federal, state or Social Security) on your contributions. Your Dependent Care FSA
contributions are subject to state income taxes.
> You pay for your eligible healthcare and/or childcare expenses as usual.
Note: Since you don’t pay Social Security taxes on your contributions, your FSA contributions may reduce your wages reported for Social Security purposes.
* Under N.J.S.A. 54A:6-24, the value of a cafeteria plan beneit is excludable from New Jersey gross income. The FSA beneit cannot meet the New Jersey
requirements for excludability. Accordingly, for New Jersey gross income tax purposes, the employee’s full salary, without reduction, is subject to tax withholding.
16
