Limited Purpose FSA

2023 Plan Information

What is a Limited Purpose Flexible Spending Account (FSA)?

If you’re enrolled in Option C under the Medical Plan, you may open a Limited Purpose Flexible Spending Account (LPFSA) to put aside before-tax money to pay for eligible dental and vision expenses (Note: Funds may not be used to pay for medical expenses). The Limited Purpose FSA is administered by Smart Choice.

Who’s Eligible

All U.S. benefits-eligible employees enrolled in Medical Plan Option C.

Eligible Expenses

Use your Limited Purpose FSA to pay deductibles, copays and coinsurance related to dental and vision expenses only. Other eligible health care expenses include eyeglasses, laser eye surgery and orthodontia. For a complete list, see IRS Publication 502.
 

How It Works

Contribute

Choose your contribution amount when you enroll.

In 2023, you can contribute up to $3,050, the IRS annual maximum. You can make changes during the year only if you experience a qualifying life event.

The money will be deducted from your paychecks in equal amounts throughout the year before taxes are calculated.

Pay

Use the Smart Choice debit card to pay at the time of service or purchase, like you would use a debit or credit card. With the Smart Choice debit card, you don’t have to fill out forms or wait for reimbursements. Eligible expenses will automatically be debited from your account.

Spend

Your eligible expenses must be incurred by December 31, 2023, and submitted for reimbursement by April 30, 2024. See below regarding unused 2022 LPFSA funds.

Roll Over

Any unused funds up to $570 in your 2022 LPFSA may roll over to 2023 as long as you reenroll in an LPFSA for 2023. The rollover funds from 2022 into 2023 must be used by December 31, 2023 (for eligible 2023 expenses) or they will be forfeited.

Important: Although you may carry over up to $570 in unused 2022 FSA funds to 2023, IRS regulations require that they may not be used until after funds you contribute to a 2023 FSA. Additionally, you may carry over 2022 funds only once. That is, at the end of 2023, you may carry over up to $610 of unused 2023 FSA funds; all unused 2022 carryover funds (as well as any used 2023 FSA funds above $610) will be forfeited back to the plan.