Flex Spending Accounts
An FSA allows an employee to set money aside in an account before taxes are taken out. The employee can then use that money for qualifying healthcare and/or dependent care expenses. So, the benefit comes by using all of your money, without taxes taken out, to pay for some of these expenses.
However, the risk comes if you do not use all of the funds that were set aside in the calendar year. FSAs do not carry over into the next calendar year, and any money not spent is lost by the employee. So, you must plan carefully regarding your contributions to the FSA account.
If you have any questions about your qualifications for an FSA or how to get started, contact Brenda Heppard, Human Resources Coordinator. X8023 or [email protected]