Reimbursement Accounts
The state offers you three Reimbursement Accounts (also called Flexible
Spending Accounts or FSAs) that can provide you with a tax break on your
predictable out-of-pocket costs. Use the chart below to see how the accounts
work; then visit the Choice Toolkit
where estimator tools can help you decide if the Reimbursement Accounts
have value for you.
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Enroll if you have
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- Standard PPO or HMO
- No health coverage
Not available with HIHP HMO or PPO
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- Any Health Investor HMO or Health Investor PPO
Not available with Standard HMO or PPO
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- Eligible expenses for day care for an eligible child
or qualifying relative so you can work
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How much you can contribute
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From $60 to $5,000 in pre tax dollars
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From $60 to $5,000 in pre tax dollars
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From $60 to $5,000 in pre tax dollars ($2,500 if you're married
filing separate tax returns)
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Use the account to pay yourself back for
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Out-of-pocket medical, prescription, dental , vision and over-the-counter
medication expenses:
- not paid by insurance or reimbursed from any other source
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Out-of-pocket dental, vision and over-the-counter medication expenses:
- not paid by insurance or reimbursed from any other source
Not available for medical expenses
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Care for a child, disabled spouse or qualifying relative who:
- is dependent on you
- needs care so that you (and your spouse if you're married) can
work
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How FSAs work - Easy as 1 - 2 - 3
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You set aside pre tax dollars from your paycheck.
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You submit eligible expenses for reimbursement throughout the year.
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You are reimbursed from your FSA for the eligible expenses you
submit.
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How much can I save using an FSA?
If you pay federal income tax and Social Security tax, this creates about
a 20% savings on most of the health or dependent care services you buy.
The savings could be more - depending on your income tax rate. And yet,
even when you pay no income taxes, the Social Security tax savings is
about 7.5% - or $7.50 for each $100 you spend.
Estimate Carefully
Before enrolling:
- Estimate expenses carefully for the plan year the Reimbursement
Account Estimator Tools can help you do that. For health and dental,
think about using the Health Plan and Dental Cost Estimators first,
then use what they tell you about out-of-pocket costs for care to start
your Medical Reimbursement Account estimates.
- Read about some important considerations
for making your FSA choices.
Claiming Your Reimbursement Account Benefits
You claim Reimbursement Account benefits by submitting a claim form and
appropriate supporting documentation to PeopleFirst by April 15.
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2009 plan year
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January 1, 2009 and March 15, 2010
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April 15, 2010
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2010 plan year
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January 1, 2010 and March 15, 2011
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April 15, 2011
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