Flexible Spending Accounts (FSA) give you a tax-advantaged way to pay for certain healthcare and dependent care expenses. The company offers two options:
- Healthcare FSA: Use for unreimbursed medical, prescription drug, dental and vision expenses for you and your family.
- Dependent Care FSA: Use for Daycare expenses to allow you and your spouse to be gainfully employed.
Participation in any FSA is optional, but it offers you a way to save money because you can pay for defined expenses with money before it is taxed. The “Use-it-or-Lose-it” rule applies to both the Healthcare FSA and the Dependent Care FSA.
Discovery Benefits will be administering the flexible spending accounts in 2018.
Details follow in the sections below. Refer to the 2018 Open Enrollment Guide and FAQ’s for more information, or call the WVU Medicine HR Service Team at 1-833-599-2100 Monday-Friday from 7 am to 4:30 pm.
Healthcare Flexible Spending Account
A healthcare FSA can help you pay for out-of-pocket medical, prescription drug, dental, and vision expenses for you and your eligible dependents. Healthcare FSAs are available to employees if enrolled in the 90% Blue or 80% Gold PPO plans as well as those who waive medical coverage. They cannot be used by employees who elect the Mountaineer HDHP option. You may contribute up to $2,600 per year and can use the FSA debit card to pay for eligible expenses.
For the 2018 plan year, WVU Medicine will utilize a 2 1/2 month grace period for the reimbursement of qualified expenses under the healthcare FSA. As a result, employees who elect the 2018 healthcare FSA, will have until March 15, 2019, to have a qualified expense using 2018 funds. Claims must be submitted by March 31, 2019, for services rendered in 2018. Any funds remaining in the account after March 31, 2019 will be forfeited by IRS guidelines.
Dependent Care Flexible Spending Account
Any eligible employee can take advantage of the Dependent Care FSA. The maximum for the dependent care FSA in a calendar year is $5,000, or $2,500 if you are married and file a separate return. The Grace Period does not apply. Any funds remaining in the account after December 31, 2019 will be forfeited by IRS guidelines.