|Flexible Spending Account - UnitedHealthcare (Group #717203)|
HMIS allows you to redirect a portion of your pay through payroll deduction to a Health Care and/or Dependent Care Flexible Spending Account (FSA). The FSAs are managed by United Healthcare. The money is deducted from your pay on a pre-tax basis, which means it is deducted from your pay before Federal and Social Security taxes are calculated. Because you do not pay taxes on the money that goes into your FSA(s), you decrease your taxable income and potentially increase your spendable income.
Each month money accumulates in an FSA based on the elections you have made. If you have not used all of the money in your FSA by the end of the plan year, federal law requires that you forfeit the balance. With a Health Care FSA, you can begin to use all or some of the total amount elected as soon as the plan year begins. With a Dependent Care FSA, you will be reimbursed only for dependent care services that you have already funded in your account. If you submit a claim for an amount that exceeds your account balance, you will be reimbursed on a pay period basis until you have made enough additional contributions to cover the expenses.
Health Care FSA
Employees may set aside from their salaries to pay for qualified medical expenses through the Health Care FSA, $2,850 annually.
Reminder: If by the end of the plan year you do not use all of the money in your FSA, you may carryover up to $500 of the remaining balance to the following year.
Dependent Care FSA
You may deposit up to $5,000 per plan year ($2,500 if you are married and both you and your spouse elect the benefit) into a Dependent Care FSA. Eligible expenses include, but are not limited to, payments to daycare centers, preschool costs (up to, but not including, kindergarten), after school care and elderly care.
Reminder: Beginning January 1, 2011 you may not use your Healthcare FSA to pay for over-the-counter (OTC) medications unless the medication is prescribed by a physician.