FSA / DCA
Flexible Spending Account (FSA)
Flexible Spending Accounts are an important part of any companies benefits plan. Offering an FSA can help employers with their employee recruitment and retention efforts as well as positively effect the bottom-line with FICA and Payroll tax savings.
With an FSA, you choose a pre-tax amount of up to $2,500 annually to set aside for eligible health care expenses. Pre-funded by the employer, this money becomes available for use for health care costs immediately on the first day of the New Plan Year. This is not an expense - it is your money set aside tax free. With and FSA you can save money on the expenses you expect to incur.
At FlexPlan Administrators, we specialize in pmanaging Flexible Spending Accounts on behalf of both the employer and the participating employee. We will handle all of the enrollment procedures, reimbursements, reports and discrimination testing involved with your FSA. We also will issue the FlexCard which can makes using the FSA an easy process.
Dependent Care Account (DCA)
You can use pre-tax dollars to cover eligible dependent care expenses for qualified dependents. Dependents is defined as being under the age of 13 or a person that is mentally or physically disabled and claimed as a dependent on their federal income tax return. An amount of up to $5,000 is allowed to be set aside pre-tax for the dependent care expenses.
The FlexPlan Card is a special MasterCard that participants can use instead of cash to pay for out-of-pocket health care expenses. With the FlexCard, payments are deducted directly from your FSA account - there is no waiting for reimbursement checks or filling out claim forms! You have online access to real-time account information allowing you to check your balance at any time. The best benefit is that the FlexCard can help you offset rising health care costs and increase your take-home pay.
Premium Only Plan (POP)
A POP is often referred to as Premium Conversion and allows the premium costs to be paid on a pre-tax basis for group health, dental and vision insurance.