A Flexible Spending Account (“FSA”) is a benefit that lets you pay for medical, dental, vision, and dependent care expenses with pre-tax money. Eligible employees can choose to set aside a specific amount of their pay through salary reduction, directing that amount into the FSA. Contributions to these accounts are not subject to federal income tax or Social Security taxes.
Enrollment in this plan is optional. Each year, or when you start your job, you can decide how much to contribute to the FSA. The federal government sets the annual maximum contribution limit for both healthcare and dependent care. Contributions are deducted from your pay before taxes and placed into the FSA. You can pay for eligible expenses and submit claims to the University’s third-party administrator. Depending on your FSA plan, you may submit claims online or use a debit card for expenses. More information about this benefit is available in the Office of Human Resources. All eligible employees have 30 days from their hire date to enroll in the FSA. You can make changes to your elections or enroll again at the start of each calendar year. If your status changes, you may also be able to adjust your elections during the year.
According to IRS regulations, if you do not use all the money you set aside in each account, you will lose that money. If you choose to participate in the FSA, it’s important to carefully estimate your eligible expenses for the year to avoid losing any funds.
Further information can be found in the Benefits Wellness and Resources Page under " Flexible Spendings Account" section.