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The Flexible Spending
Account (FSA) is an IRS-approved plan that allows State employees to save
on healthcare expenses. MoneyPlu$ gives you a way to
pay for your dependent care or approved medical expenses with pre-tax
dollars. FSAs are voluntary. You decide how much to have taken out of
your paycheck and reserved for reimbursable expenses.
If you are paying for dependent care expenses, or have medical expenses
that are not reimbursable under your health insurance, you are paying
for those expenses with dollars that have already been taxed. By enrolling
in MoneyPlu$, you will pay those same expenses with
whole dollars-before federal, state and social security taxes are
deducted from your salary. Each pay period, a regular portion of this
amount will be deducted from your paycheck. These deductions are made
before your federal, state, and social security taxes are calculated.
The contributions to your Flexible Spending Account are deducted tax-free
from your gross pay.
MoneyPlu$ is comprised of three parts:
- MoneyPlu$ allows you to pay your medical, dental and
optional life (up to $50,000) insurance premiums
on a pre-tax basis.
- The Dependent Care Spending Account allows you to reimburse
your expenses with pre-tax dollars for dependent care,
maximum $5,000.
- The Medical Spending Account allows you to be reimbursed
for medically necessary expenses, such as co-payments,
vision care and out of pocket dental fees with pre-tax dollars.
You must be employed for one year before enrolling in plan, maximum
$5,000. Employees may enroll in a MSA the October after one year of service.
Estimate wisely on Parts B and C! Money must be
used for expenses incurred in the current benefit year. Money
left over at the end of the year will be forfeited, so budget conservatively!
Administrative fees are very modest compared to the potential savings:
$0.28/month for part A, $3.50/month for part B and $3.50/month for
part C.
Re-Enrollment is required for parts B & C during October enrollment.
For more information:
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