Flexible Spending Account
Learn how a Health Care FSA or Limited Purpose FSA can save you 20% to 40% (depending on your tax bracket) on your health care costs, including dental expenses.
FSAs Overview
2024 Plan Information
| Health Care FSA | Dependent Day Care FSA | Limited Purpose FSA |
|---|---|---|
| Who Can Enroll? | ||
All employees not enrolled in Medical Plan Option C, even those who are not enrolled in any other Firm benefits | All employees, even those who are not enrolled in any other Firm benefits | Only employees enrolled in Medical Plan Option C |
| How Much Can I Contribute? (determined by the IRS each year) | ||
Between $100 and $3,200 | If you are single or married and filing a joint tax return, between $100 and $5,000 annually (lower limits may apply in certain circumstances). If you are married and file separate tax returns, you may contribute between $100 and $2,500 annually. | Up to $3,200 annually |
| What Can the FSA Money Be Used For? | ||
| Funds for:
NOTE: Funds apply to eligible expenses for eligible dependents age 12 and under or disabled or elderly dependents |
|
| What Are the Deadlines? | ||
2023
2024
| 2023
2024
| 2023
2024
|
Which Account(s) Should I Participate In?
Depending on your needs, you may decide to participate in one or more accounts. Since your total FSA contribution is taken from your pay before federal income taxes are deducted, your taxable income is reduced by the amount of your contribution. So, the more you contribute, the more you save.
First consider your health care spending. If you are enrolled in Options A or B, or enrolled in an eligible plan through another employer or exchange, consider your typical annual out-of-pocket medical, prescription drug, dental and vision spending. You could save money by paying for things like copays, coinsurance and prescription drugs with a Health Care FSA. For employees enrolled in Option C, you have the option of paying for medical, prescription drug, dental and vision care expenses with an HSA, but can further your savings on dental and vision expenses by adding a Limited Purpose FSA.
Next, consider your dependent day care expenses. Any employee can contribute to a Dependent Care FSA, which can be used to pay for eligible child and adult care services, such as child or adult day care, after-school care, au pair or nanny services, camp, or disability care. Consider contributing enough to cover your estimated expenses, up to IRS maximums.
Deposit Funds Directly into Your Checking Account
Make it easy — elect direct deposit from UHC’s website to have your Health Care and Dependent Day Care FSA reimbursements deposited directly into your U.S. checking or savings account. This way, you will not have to wait for the reimbursement for each claim in the mail.
Use It or Lose It
By law, any money in your Dependent Day Care that you do not use by the end of the year, or submit a claim for by April 30 of the following year, will be forfeited.
However, you have the option to roll over up to $610 of 2023 unused Health Care FSA funds for use in the following year. Any rollover amount elected will be forfeited if you enroll in Medical Plan Option C for the following year.
Estimate your projected health care and dependent day care expenses and potential tax-savings with the FSA Calculator on the Benefit Center website.
Health Care and Limited Purpose Flexible Spending Account: Rollover
If you participate in a Health Care or Limited Purpose FSA, IRS regulations permit the forfeiture of any unused funds remaining in the account at the end of the Plan year. However, any unused 2024 Health Care FSA funds up to $640 may automatically roll over into your account for the next Plan year. The remaining balance will automatically roll over into your Health Care FSA for 2025, assuming you make an active election to participate in a Health Care FSA and do not enroll in Medical Plan Option C for coverage.
You have until April 30 of the following year to request reimbursement for eligible expenses incurred during the current Plan year.
Important: Carried over 2023 Health Care and Limited Purpose FSA funds will be applied to 2024 eligible expenses after funds you contribute to a 2024 FSA. Additionally, you may carry over 2023 funds only once. That is, at the end of 2024, you may carry over up to $640 of unused 2024 FSA funds; all unused 2023 carryover funds (as well as any used 2024 FSA funds above $640) will be forfeited back to the plan.