Enroll now and save throughout the year
Flexible Spending Accounts (FSAs) allow you to set aside pre-tax dollars from each paycheck to pay for out-of-pocket health care and dependent day care expenses. Here’s a look at what you need to know about FSAs:
- You must re-enroll for FSAs every year. If you are currently enrolled in the Health Care and/or Dependent Day Care FSA, you must re-enroll during Open Enrollment if you want to participate in 2015.
- There are contribution limits. You can contribute up to a maximum of $2,550 to a Health Care FSA and up to $5,000 ($2,500 per year if you are married and you and your spouse file separate federal income tax returns) to a Dependent Day Care FSA.
- Account funds do not carry over. You forfeit any funds in your account(s) that you don’t use during the plan year.
- There are claim filing deadlines. If you are currently enrolled in an FSA, you have until March 31, 2015 to submit claims for 2014.
- Keep your receipts! The IRS requires you to keep documentation associated with reimbursements from your FSA.