Flexible Spending Accounts

(effective 1/1/07)

Benefits-eligible employees have the opportunity to pay for eligible health care and dependent care expenses on a pre-tax basis when enrolled in one, or both of the offered Flexible Spending Accounts. The two types of Flexible Spending Accounts, which are available to eligible employees, are the Health Care Flexible Spending Account and the Dependent Care Flexible Spending Account. Plan participants designate an annual amount within 30 days of hire or during open enrollment up to a maximum of $3,500 for health care expenses, and $5,000 for dependent care expenses in a given year. The amount designated is divided evenly by the number of pay periods during the calendar year, and deducted from employee paychecks over the course of that same year on a pre-tax basis. As you incur qualified health or dependent care expenses, reimbursements for these expenses may occur from the accounts. Employees submit receipts with reimbursement claim forms, and are reimbursed for approved expenses.

For Health Care Flexible Spending Accounts only, employees have the added option of using a debit card pre-loaded with the full amount of Health Care Flexible Spending dollars that have been elected in a given calendar year.

Employees can continue to incur expenses through March 15th of the following plan year but must submit receipts by March 31st. Any Flexible Spending Account balance remaining by March 31st of the next calendar year is forfeited and will not be returned to you. See the flexible spending web page for further information.