Page 9 - Tacony 2021 Annual Benefits
P. 9
Flexible Spending Account
What is a Flexible Spending Account Dependent Care FSA
(FSA)? The dependent care FSA lets you set aside pre-tax
A lexible spending account (FSA) allows you to set dollars to use toward qualiied dependent care. The
aside pre-tax dollars from your paycheck to cover maximum amount you may contribute to the dependent
qualiied expenses you would normally pay out of care FSA is $5,000 (or $2,500 if married and iling
your pocket with after-tax dollars. We offer 2 types of separately) per plan year. Funds you contribute to the
lexible spending account programs. dependent care FSA function like a debit card—you
need to accumulate the funds before you can use them.
Healthcare FSA
The healthcare FSA helps you pay for certain IRS- Use It or Lose It
approved medical care expenses not covered by your You have the opportunity to elect the amount of dollars
insurance plan with pre-tax dollars. The maximum you would like to contribute to the FSA programs for
contribution to the healthcare FSA is $2,750 per the upcoming calendar year. It is important to estimate
plan year. the number of expenses you will incur during the year
for healthcare and dependent care expenses as any
Funds you elect to contribute to the healthcare FSA funds remaining in your account at the end of the year
are available in full on the irst day of the plan year. will be forfeited with one exception. For the healthcare
For example, if you elect to contribute $1,000, the full FSA, you will have the opportunity to roll over no
election is available to you on day one. You’ll continue more than $550 into the following calendar year. The
to pay for the election pre-tax from your paycheck dependent care FSA does not operate in the same
throughout the plan year. manner, meaning at the end of the year, you would lose
any remaining unused funds.
Limited Healthcare FSA
If you enroll in the HDHP/HSA Plan and open an Eligible Expenses
HSA, you can still participate in the limited healthcare
FSA. The limited healthcare FSA works like the Healthcare FSA Dependent Care
traditional healthcare FSA, but it can only be used Doctor’s visit copays FSA
Cost of child or adult
for eligible dental and vision expenses as well as plan Prescription drug copays daycare*
expenses incurred after your medical plan deductible Medical and dental Nursery school
deductibles
has been met. The maximum contribution to the Over-the-counter Preschool (excluding
limited healthcare FSA is $2,750. medications (with a kindergarten)
written prescription) * Eligible dependent: tax
Hearing aids dependent child under age
13; tax dependent spouse,
Eyeglasses parent, or child unable to
care for themselves
Tacony Corporation 9
What is a Flexible Spending Account Dependent Care FSA
(FSA)? The dependent care FSA lets you set aside pre-tax
A lexible spending account (FSA) allows you to set dollars to use toward qualiied dependent care. The
aside pre-tax dollars from your paycheck to cover maximum amount you may contribute to the dependent
qualiied expenses you would normally pay out of care FSA is $5,000 (or $2,500 if married and iling
your pocket with after-tax dollars. We offer 2 types of separately) per plan year. Funds you contribute to the
lexible spending account programs. dependent care FSA function like a debit card—you
need to accumulate the funds before you can use them.
Healthcare FSA
The healthcare FSA helps you pay for certain IRS- Use It or Lose It
approved medical care expenses not covered by your You have the opportunity to elect the amount of dollars
insurance plan with pre-tax dollars. The maximum you would like to contribute to the FSA programs for
contribution to the healthcare FSA is $2,750 per the upcoming calendar year. It is important to estimate
plan year. the number of expenses you will incur during the year
for healthcare and dependent care expenses as any
Funds you elect to contribute to the healthcare FSA funds remaining in your account at the end of the year
are available in full on the irst day of the plan year. will be forfeited with one exception. For the healthcare
For example, if you elect to contribute $1,000, the full FSA, you will have the opportunity to roll over no
election is available to you on day one. You’ll continue more than $550 into the following calendar year. The
to pay for the election pre-tax from your paycheck dependent care FSA does not operate in the same
throughout the plan year. manner, meaning at the end of the year, you would lose
any remaining unused funds.
Limited Healthcare FSA
If you enroll in the HDHP/HSA Plan and open an Eligible Expenses
HSA, you can still participate in the limited healthcare
FSA. The limited healthcare FSA works like the Healthcare FSA Dependent Care
traditional healthcare FSA, but it can only be used Doctor’s visit copays FSA
Cost of child or adult
for eligible dental and vision expenses as well as plan Prescription drug copays daycare*
expenses incurred after your medical plan deductible Medical and dental Nursery school
deductibles
has been met. The maximum contribution to the Over-the-counter Preschool (excluding
limited healthcare FSA is $2,750. medications (with a kindergarten)
written prescription) * Eligible dependent: tax
Hearing aids dependent child under age
13; tax dependent spouse,
Eyeglasses parent, or child unable to
care for themselves
Tacony Corporation 9
