No matter how good your health plan is, you will end up spending money on things like deductibles, coinsurance and uncovered services. But, you can save some money by opening a Flexible Spending Account, or FSA, for your medical spending.
How it works
Before the beginning of the year, you will commit to contributing a certain amount to your FSA. This money will be taken out of your paycheck before taxes, but you will have to spend it on health care.
Health care FSA
No matter how good your health plan is, you will end up spending money on things like deductibles, coinsurance and uncovered services. Funds in a health care FSA are committed to paying for these qualifying health care expenses.
What can you use your health care FSA for?
The most important thing to remember: Use it or lose it
Any money you committed to your FSA that you do not spend by the end of the year will be forfeited. Before deciding how much to contribute, give plenty of thought to how much you think you’ll spend in the coming year.
The second most important thing to remember: FSAs are not interchangeable
There are dependent day care FSAs and health care FSAs. These are separate accounts that are used for separate kinds of expenses. You will not be allowed to use your dependent care FSA to pay for a teeth whitening, and you will not be allowed to use your health care FSA to pay for day care.
If you want to know more about Flexible Spending Accounts, call a Benefits Outlook specialist at 866-222-KISD (5473)
For any benefits question or concern, including 24/7 Nurse Line access, one call does it all.
Call us at 866-222-KISD (5473)