Federal Flexible Spending Account Program (FSAFEDS)

RI 70-01 For Federal Civilian Employees

What does this Program offer?

The Federal Flexible Spending Account Program, known as FSAFEDS, is a taxfavored benefit that allows you to set aside pretax money from your paychecks to pay for a variety of eligible dependent and health care expenses. Enrolling in FSAFEDS will lower the amount of income tax you pay because the amount you allot to your FSAFEDS account(s) is not taxed. You can end up saving anywhere from 20% to 40% on eligible products and services.

Key FSAFEDS facts

• FSAFEDS is part of the annual Federal Benefits Open Season.
• Retirees cannot enroll in FSAFEDS.
• Employees MUST reenroll each year - coverage does not automatically carry over to the next benefit period.
• If you enroll during Open Season you will have 14-1/2 months to spend your annual election.
• Enrollees must file claims for their current benefit period by April 30th of the following year.
• Enrollees can use FSAFEDS accounts for copayments and deductibles from their FEHB and/or FEDVIP enrollments.

What enrollment types are available?

There are three types of FSAs. Each type has a minimum annual election of $250 and a maximum of $5,000:

• Dependent Care FSA (DCFSA) - Used for eligible dependent care (nonmedical) expenses that allow you and your spouse (if married) to work, look for work (as long as you have earned income at some point during the year), or attend school fulltime. Eligible expenses include child care, before and after school care, late pickup fees, and adult daycare. Dependents covered under a DCFSA include your children before their 13th birthday, and may also include an adult (e.g., parent, grandparent, adult disabled child) if the employee is providing more than half of that person's maintenance for the year and the person meets the IRS definition of dependent for income tax purposes.

• Health Care FSA (HCFSA) - Used for eligible health care expenses for you, your spouse, and your dependents that are not covered or reimbursed by FEHB, FEDVIP or other insurance. Common expenses that are reimbursable by an HCFSA include: Chiropractic services; coinsurance and copayment amounts, and deductibles; contact lenses and cleaning solution; eye surgery and eyeglasses; dental care and procedures; hearing aids and batteries; infertility treatments; overthecounter medicines and products.

  An HCFSA is not health insurance and does not replace your insurance plan. It is a separate program that reimburses you for eligible out-of-pocket expenses once your FEHB or FEDVIP plan or other insurance has paid its portion. It can also reimburse you for overthecounter products that are not covered by FEHB or FEDVIP . common items like ibuprofen, acetaminophen, aspirin, antacids, home diagnostic tests or kits or sunscreen.

  If you participate in an HCFSA and you are enrolled in a High Deductible Health Plan you may also have a Health Reimbursement Arrangement (HRA) but you cannot have a Health Savings Account (HSA).

• Limited Expense Health Care FSA (LEX HCFSA) - Designed for employees enrolled in or covered by a High Deductible Health Plan with a Health Savings Account. Eligible expenses are limited to dental and vision care expenses for you, your spouse, and your dependents that are not covered or reimbursed by FEHB, FEDVIP or other insurance. By opening a Limited Expense Health Care FSA you can save money on taxes by using your LEX HCFSA dollars for dental and vision care while preserving your Health Savings Account funds for other purposes.

Eligible expenses include your out-of-pocket costs for services and products such as:

Am I eligible to enroll?

Most Federal employees in the Executive branch and many in nonExecutive branch agencies are eligible. For specifics on eligibility, visit www.FSAFEDS.com or call an FSAFEDS Benefits Counselor tollfree at 1-877-FSAFEDS (1-877-372-3337) TTY: 1-800-952-0450, Monday through Friday, 9 a.m. until 9 p.m., Eastern Time. Retirees cannot enroll.

When can I enroll?

If you are a new eligible employee or an employee who has become newly eligible to enroll, you may enroll within 60 days of becoming eligible. You may also enroll during the annual Federal Benefits Open Season, which runs from the Monday of the second full work week in November to the Monday of the second full work week in December. You may also enroll or make changes to your enrollment if you experience a qualifying life event such as a change in family status. You can find more information about qualifying life events at www.FSAFEDS.com. Enrollment DOES NOT carry over from year to year - you must make an election every year to participate!

Your Open Season election for your FSA is effective on January 1 of the benefit year. If you are a newly hired or newly eligible employee enrolling outside of Open Season, your effective date is the day after your election is accepted by FSAFEDS.

How do I enroll?

You enroll at www.FSAFEDS.com or by calling 1-877-372-3337.

What should I consider in making my decision to participate in this Program?

• Do I want to participate this year? You must make a new election every year. Enrollment does not carry over from year to year.
• What do my annual medical/dependent care outofpocket expenses run each year?
• Will my health, dental or vision insurance coverage be different this year? Am I changing plans or adding other coverage? Are my copayments changing?
• Will I still have the same number of dependents?

How do I get more information about this Program?

Visit FSAFEDS online at www.FSAFEDS.com for information including:

• How to enroll
• How to file a claim
• Eligible expenses
• Using the savings calculator

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