Flexible Spending Accounts are known by many names, FlexFund, FSAÂ’s, FlexServe. By any name, they can provide a valuable benefit to yourself and your family, and help increase your take-home pay in the process. You may set aside pre-tax money from your paycheck to pay for certain out-of-pocket costs you incur to care for yourself and your dependents. The money is never taxed, even when you receive it back in the form of a reimbursement for qualified expenses. You choose the amount to be put into the account and the amount is divided by the number of pay periods you have during the plan year. When you have an eligible expenses you submit a Claim Form (by mail or fax) along with the documentation of the expense. The request is processed and you are reimbursed for the amount of your expense.
Under IRS rules, you will forfeit any money remaining in your account at the end of the plan year but with careful planning you should not lose money. Please review the materials carefully and if you are interested fill out the application and submit it to Kathi along with your employment documents.
ØOpen Enrollment memo – issued June 17, 2004For further information, or if you have questions, please see Kathi Bump.