Flexible Spending Accounts (FSA) allow employees to put pre-tax income into an account to help cover qualified health expenses like copays & prescriptions.
My friends, we are always kids at heart when we think about Christmas and all the wonders it beholds. Not the least of which are the gifts we imagine and think we can’t live without. For many employees, a Flexible Spending Account (FSA) is one of those gifts.
With a FSA, employees are able to put pre-tax income into an account which they can then use to help cover qualified health expenses like copays and prescriptions. In 2017, employees can contribute up to $2600 to their FSA (an increase of $50 from 2016).
Since FSA contributions are excluded from taxable income, employees will save money by paying less in taxes. Now, isn’t that a great gift – which will keep on giving all year long?
As we approach the end of the year, it’s important to start thinking about the benefits you want to provide your employees next year.
To help, on December 15, I’ll be leading an interactive webcast about Flexible Spending Account logistics, and how you can be sure you are set up optimally for 2017. If you have particular questions about FSAs you’d like answered, send it to [email protected] and I’ll be prepared to answer you in the live session on 12/15, which you can register for here. Hope to chat with you then!
In this session, we’ll go over:
- What’s an FSA and why should I get one?
- What are the financial limits on my FSA?
- What can I use my FSA to buy or pay for?
- Things you should know about your FSA
- As an employer, why should I sponsor an FSA for my Employees?
- Who manages my account and keeps track of my expenditures?
- What happens if I have money left at the end of the year? Teaser: Ever heard of the FSA Store.com or buying prepaid medical procedures in advance?