WHAT ARE SPENDING ACCOUNTS?
Participants
Flexible Spending Account (FSA) Section 125
A Flexible Spending Account (FSA) is an IRS approved benefit plan that allows you to pay for out-of-pocket expenses for you and your dependents with a portion of your salary that is not taxed.
In order for your FSA expenses to be eligible, they must fall into the following categories:
If your employer offers a Flexible Spending Account, ask your Human Resources contact for a copy of the Summary Plan Description for complete details of your plan.
For a complete list of eligible and ineligible FSA expenses, check out the following documents: Eligible_Expenses and Eligible_OTC
Healthcare Reimbursement Arrangement (HRA) Section 105
A Healthcare Reimbursement Arrangement (HRA) is an IRS approved benefit plan funded completely by your employer. The terms of your HRA are specific to your employer. If you are unsure whether your employer offers an HRA and/or what the terms are, please contact your Human Resources department.
Transportation Plan (TRN) Section 132
A Transportation Plan allows you to pay for certain transportation related costs associated with your employment with pre-tax dollars. These expenses must be related to either Mass Transportation or Parking. For more information on Transportation plans or to find out whether your employer offers one, contact your Human Resources department.
Health Savings Account (HSA)
Health Savings Accounts are a relatively new IRS approved tax savings plan. If your employer offers an HSA Plan, it will always be in conjunction with a High Deductible Health Plan. Your funds will be held in a separate bank account and may earn interest. Any money left over at the end of the plan year belongs to the employee and stays with them even if employment is terminated with the original employer. Such plans are subject to annual contribution limits for individuals and families.
Open Enrollment
Open Enrollment is the time each year that you may elect to enroll in your company's FSA, HRA or TRN plans (if they are offered through your employer and you meet the eligibility requirements). It is at this time you may wish to estimate your eligible expenses for the upcoming year by reviewing previous years' expenses and looking ahead to any upcoming expenses in the next year. Use our Expense_Worksheet to help estimate your family's annual expenses.
During Open Enrollment, you must complete and submit an enrollment form to your Human Resources Department by the date they determine. These forms are available through your HR Department or you may print and complete the appropriate enrollment form located on our website. Take me to Forms.
A Flexible Spending Account (FSA) is an IRS approved benefit plan that allows you to pay for out-of-pocket expenses for you and your dependents with a portion of your salary that is not taxed.
In order for your FSA expenses to be eligible, they must fall into the following categories:
- Healthcare - medical, dental and vision related expenses
- Dependent Care - child care expenses incurred while at work
If your employer offers a Flexible Spending Account, ask your Human Resources contact for a copy of the Summary Plan Description for complete details of your plan.
For a complete list of eligible and ineligible FSA expenses, check out the following documents: Eligible_Expenses and Eligible_OTC
Healthcare Reimbursement Arrangement (HRA) Section 105
A Healthcare Reimbursement Arrangement (HRA) is an IRS approved benefit plan funded completely by your employer. The terms of your HRA are specific to your employer. If you are unsure whether your employer offers an HRA and/or what the terms are, please contact your Human Resources department.
Transportation Plan (TRN) Section 132
A Transportation Plan allows you to pay for certain transportation related costs associated with your employment with pre-tax dollars. These expenses must be related to either Mass Transportation or Parking. For more information on Transportation plans or to find out whether your employer offers one, contact your Human Resources department.
Health Savings Account (HSA)
Health Savings Accounts are a relatively new IRS approved tax savings plan. If your employer offers an HSA Plan, it will always be in conjunction with a High Deductible Health Plan. Your funds will be held in a separate bank account and may earn interest. Any money left over at the end of the plan year belongs to the employee and stays with them even if employment is terminated with the original employer. Such plans are subject to annual contribution limits for individuals and families.
Open Enrollment
Open Enrollment is the time each year that you may elect to enroll in your company's FSA, HRA or TRN plans (if they are offered through your employer and you meet the eligibility requirements). It is at this time you may wish to estimate your eligible expenses for the upcoming year by reviewing previous years' expenses and looking ahead to any upcoming expenses in the next year. Use our Expense_Worksheet to help estimate your family's annual expenses.
During Open Enrollment, you must complete and submit an enrollment form to your Human Resources Department by the date they determine. These forms are available through your HR Department or you may print and complete the appropriate enrollment form located on our website. Take me to Forms.
