Participation in the Health Care or Dependent Care Flexible Spending Accounts is determined on an annual basis, from January 1 through December 31. You must enroll each calendar year.
Through careful planning and analysis of individual needs and expenses, a significant tax savings can be realized through participation in either or both of these accounts.
These spending accounts allow you to avoid paying Federal and State income taxes andSocial Security taxes on a portion of your income. The program also allows you to have that portion of your income used to establish specific accounts from which non-reimbursed health care expenses and dependent care (child care, elder care, etc.) expenses reimbursed.
To expedite your reimbursement, the claims administrator will arrange for direct deposit to your checking or savings account. Typically, this would take no longer than 2 working days from the day the claim is received by the administrator. Beginning in 1997 you may choose to receive Your Explanation of Reimbursement from the administrator through E-mail. Refer to your Flexible Benefits Plan booklet for more details on Flexible Spending Accounts.
