FSAP Open Season is from November 10 to December 8, 2008
Attention Current 2008 Participants: YOU MUST RE-ENROLL to participate in 2009. Enrollments DO NOT carry forward year-to-year.
- A Health Care FSA (HCFSA) pays for the uncovered or reimbursed portion of qualified medical costs.
- A Dependent Care FSA (DCFSA) allows you to pay eligible expenses for dependent care with pre-tax dollars.
All employee contributions to FSAs are made from pre-tax earnings, thereby increasing disposable income. There are no government contributions to the FSAFEDS program. The U.S. Office of Personnel Management (OPM) has contracted with a third party administrator, SHPS, Inc., to manage the program. By law, retirees, both Federal and non-Federal, are not eligible to maintain FSAs.
If you would like to establish a DCFSA or HCFSA you must do so during Open Season on an annual basis. Account elections will not automatically roll over to future years. An FSA ELECTION is 100% VOLUNTARY. The FSAFEDS Open Season is held each fall in conjunction with the FEHB Open Season from mid-November to mid-December. Eligible employees may elect up to $5,000 for a DCFSA and $5,000 for a HCFSA.
The federal FSA program is a tax-qualified program based on the guidelines in sections 105, 125, and 129 of the Internal Revenue Code.
#10. Get a discount of 20-40% on health care and dependent care expenses.By using pre-tax dollars to pay for eligible health care and dependent care expenses, you get a discount on these expenses equal to your tax savings. Your discount can easily be hundreds, even thousands of dollars. #9. Have money available for health care and dependent care expenses when you need it. An FSA is a great cash management tool. You are probably going to have eligible health care and/or dependent care expenses during the year - maybe deductibles or co-pays, dental or vision, child care or elder care. When you contribute to a Health Care or Dependent Care FSA, you know you'll have the money to cover these expenses when you need it. #8. It's easy to enroll online or by telephone, toll-free. Just visit www.FSAFEDS.COM to learn more about FSAFEDS. There is even a handy interactive calculator on the website to help you figure how much to contribute to the plan, your payroll deduction and your tax savings. Then just click "Enroll Now" and complete the simple enrollment form. Or call toll-free 1-877-FSAFEDS (1-877-372-3337) and a friendly, professional Benefit Counselor will answer your questions and help you sign up. TTY: 1-800-952-0450
#7. Track your account balances and claims online. Just go to www.FSAFEDS.COM and log-on to your account for a fast, real-time update of the balance in your account and the status of your claims.
#6. You'll probably save more than if you itemize deductions on your tax return. Every dollar that you contribute to an FSA is tax-free, but if you itemize medical expenses you can only deduct expenses that exceed 7.5% of your adjusted gross income on your federal income tax return. The money you set aside in your FSA is also exempt from Social Security taxes, which is an exemption that isn't available on your federal tax return, so you save even more. (Still, you may wish to consult with a tax professional to determine if itemizing is best for you.)
#5. Use your full Health Care FSA allotment upfront. If you've been putting off a special procedure while waiting for FSAFEDS to come along to help pay for it, you don't have to wait much longer. You can draw upon the full amount of your annual Health Care FSA contribution as soon as the first deduction is made from your paycheck.
#4. Get your money back FAST! FSAFEDS reimburses you usually within three days of receiving your claim. If you sign up for Electronic Funds Transfer (EFT), we'll transfer the money directly to your bank account. You could have the money before you even receive the bill for service. (If we mail a check it will take a few more days). #3. Pay for over-the-counter medications with your Health Care FSA. Beginning in January 2004 you can use your Health Care FSA to be reimbursed for over-the-counter medications. Use it for everything from cold medications and pain relievers, to antacids and smoking cessation programs. No need to worry about forfeiting the unused funds in your account. Just stock up on cough medicine and aspirin. #2. Automatic reimbursement eliminates paperwork and makes payments even faster. When you enroll in FSAFEDS you can sign up for automatic reimbursement. Then you simply file a claim with your FEHB insurance company, as you do today, and FSAFEDS will automatically reimburse you for eligible out-of-pocket expenses such as co-pays, deductibles and coinsurance. Visit www.FSAFEDS.COM for a list of FEHB carriers participating in automatic reimbursement.
#1. Save money! Okay, so this really is the same as reason #10. But the bottom line is that FSAFEDS can save you hundreds, even thousands of dollars in taxes, while giving you a discount of 20-40% on eligible health care and dependent care expenses. Just go to www.FSAFEDS.COM to enroll during the 2004 Open Season or to learn more. Or call 1-877-FSAFEDS with questions or to enroll. And make your hard-earned dollars go farther.
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