Wellness PlanMedical Plan

Flexible Spending Account (FSA)

Carrier Contact Information

Discovery Benefits

Group #: 15479

Phone: 866-451-3399

Fax: 866-451-3245

Website: www.discoverybenefits.com


 

Flexible Spending Accounts (FSA's) Recorded Presentation

FSA Employee Guide

Overview:

Employee's have two Flexible spending account (FSA) options during their enrollment period; Health Care FSA and Dependent Care FSA. So what is an FSA? FSA's are a tax-saving way to set aside money for health care and/or dependent care expenses for the plan year that a participant would typically pay for out-of-pocket. These accounts allow the participant pay these expenses with pre-tax dollars which reduces their taxable income.

"Use It or Lose It" Rule

It is very important to plan carefully when electing a goal amount for an FSA. It is recommended to take the time to estimate your medical and/or dependent care expense needs for the plan year before making your election. This is important because participants any funds remaining in the account after the end of the plan year, December 31, will be forfeited, as required by the IRS regulations.

The plan year ended and I still have funds in my account. Is there anything that I can do?

Participants will have 3 months following the end of the plan year to submit claims for eligible expenses that incurred within the plan year.

When You Can Enroll

Employees can enroll within 30 days of their hire date or within 31 days of a Family Status Change event, such as gaining a new dependent. You may also enroll during DriveTime's benefits Open Enrollment.

If you do not re-enroll each open enrollment period, your participation will cease.

Health Care FSA

Beginning in 2018, the maximum annual election for a Health Care FSA is $2,650.

You can allocate an election amount from $100 to a maximum of $3,000 per plan year. Your card will be funded with the full election amount after your first Healthcare FSA contribution is processed. The election amount is divided by the number of pay periods in the plan year to determine your per pay contributuion amount. The per-pay contribution amount is then deducted from your bi-weekly check with pre-tax earnings once the plan year begins.

Some important plan details:

  1. The funds will be available in full at the beginning of the plan year.
  2. Health Care FSA is only compatible with the Traditional Medical plan. Which means that if the employee enrolls in the Liberty plan, the Health Care FSA will not be an option.
  3. Employees who do not elect Medical with DriveTime may elect to particpate in this option independent of any other benefit options you make during your enrollment period.
  4. Flexible spending accounts are governed by IRS forfeiture rules, see Use it or Lose it rule above.
  5. Participants will need to provide receipts to Discovery Benefits for approval of each expense

Participants have the option of submitting FSA claims for reimbursement or using the FSA debit card. Some exclusions apply to the debit card. See the guide to your benefits debit card below for more information.

A Guide to your Benefits Debit Card

Instructions for Ordering Additional Cards

FSA Claim Reimbursement Request Form

List of Eligible expenses on the IRS website

List of Eligible expenses on the Discovery Benefits website

Generally, once you enroll in a Health Care FSA, no changes to your annual election amount are permitted. However, federal law allows you to make election changes at other times during the plan year in certain limited situations. If you experience a change in your work or family circumstances, commonly referred to as a Family Status Change, you may be able to make certain changes to your Health Care FSA that are consistent with the change-in-status event.

Note: You must re-enroll in Health Care FSA each year during Open Enrollment. If you do not re-enroll, your participation will cease. Thus, each year when you re-enroll you may change your designated annual election amount.


Dependent Care FSA

The maximum annual election for the Dependent Care FSA is $5,000.

The Dependent Care Flexible Spending Account allows you to set aside up to $5,000 annually on a before-tax basis to pay for eligible dependent care expenses. Some eligible dependent care expenses are:

  • Preschool
  • After-school Child Care
  • Daycare
  • Summer Day Camps
  • Elderly Care

You can allocate an election amount from $100 to a maximum of $5,000 per plan year. The election amount is divided by the number of pay periods in the plan year to determine your per pay contributuion amount. The per-pay contribution amount is then deducted from your bi-weekly check with pre-tax earnings once the plan year begins.

IMPORTANT: Dependent Care FSA funds are available after they have been deducted from your paycheck

Still wondering if a Dependent Care Flexible Spending Account is for you? CLICK HERE

How it Works

Once funds are loaded the participant can either use their FSA card, if the provider accepts it, or submit a reimbursement claim form with a receipt from your dependent care provider to Discovery Benefits.

Dependent Care FSA Recurring Form