Flexible Spending Account Program FAQs
- Where can I find out what is a reimbursable expense?
- How do I get my money back from this account?
- What is the maximum I can contribute?
- Who is a qualifying dependent under the Dependent Care Reimbursement Account?
- When and how do I sign up?
- When can I make changes to my FSA elections?
- Are there any restrictions if my spouse also contributes through his/her employers plan?
- If I set aside pre-tax money in a spending account, why would I lose the money if I don't spend it?
- If my funds run low in the Dependent FSA reimbursement account, can I use funds in my Health FSA to pay for dependent care expenses?
- Is orthodontia covered under the FSA?
- Is cosmetic surgery covered or any part of it?
- Is it really OK with the IRS?
- Do I have to have a lot of expenses to participate?
- How do I figure how much to put into my medical expense account?
- Cant I get a dependent care tax credit now?
- What is the minimum I can put into my account(s)?
Where can I find out what is a reimbursable expense?
- The Human Resources FSA webpage has a list of examples.
- You may also contact PhysiciansCare (ASR Corp.) by phone at 1. 800. 968. 2449.
How do I get my money back from this account?
Swipe your PhysiciansCare (ASR) benefits card at the provider for eliglible expenses. Within 30 days from the transaction date, you must submit a completed Benefits Card Purchase Verification Form to PhysiciansCare to avoid deactivation of your card. You may also fill out a claim form and submit your receipt(s) directly to PhysiciansCare (ASR Corp.) who will process your claim and send you a check by US mail.
All forms are available when you log in at www.andrews.edu/go/mybenefits. If you have any questions, please call Corporate Benefit Strategies (CBS) at 1.866.365.2413 ext. 108.
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What is the maximum I can contribute?
The Health Care Reimbursement Account maximum is $3,000. The Dependent Care Reimbursement Account maximum is $5,000 per family, per plan year. ($2,500 if married filing separate Federal Income Tax returns.
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Who is a qualifying dependent under the dependent Care Reimbursement Account?
Qualifying Person Test for Dependent Care
Your child and dependent care expenses must be for the care of one or more qualifying persons.
A qualifying person is:
- your dependent who was under age 13 when the care was provided and whom you can claim an exemption on your Federal Income Tax return,
- your spouse who was physically or mentally not able to care for himself or herself*, or
- your dependent who was physically or mentally not able to care for himself or herself and whom you can claim as an exemption (or could claim as an exemption except the person had $2,900 or more of gross income).
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When and how do I enroll?
Newly hired benefits eligible employees have 30 days to enroll from their date of hire.
Annual Open Enrollment for this plan is held during the month of May. Current employees wishing to participate in the next plan year must enroll during the annual open enrollment.
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When may I make a change to my FSA elections?
You may change benefits during open enrollment. Other than during an open enrollment period, generally, you are not able to change your election during the plan year. However, you might be able to make a change under one of the following circumstances referred to as Qualified Life Event changes :
- your marital status changes,
- your number of dependents change,
- one of your dependents satisfies or ceases to satisfy the requirements for coverage under the Medical Reimbursement plan for unmarried dependents due to attainment of age, student status, or any similar circumstances,
- if you, your spouse or qualified dependent experience a change in employment status that affects eligibility under this plan or you terminate or take a leave of absence (must be at least a 31 day break in employment status to qualify as a change in status),
- you change your Dependent Care provider, or
- you go on Family Medical Leave.
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Are there any restrictions if my spouse also contributes through his/her employer's plan?
The reimbursement limit for an FSA Health Care Plan is established by each employer, so you may each contribute an amount up to your respective employers plan limit. However, you may only claim reimbursement of each expense from one plan (not the same expense under both plans).
The FSA Dependent Care Plan maximum limit is established by the IRS; therefore, you and your spouse may together elect a maximum of $5,000 per plan year for this plan.
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If I set aside pre-tax money in a spending account, why would I lose the money if I don't spend it?
This is an IRS guideline, not your employers. Think of it as the price you pay for getting a tax break from the IRS. Or think of you FSA payments as insurance premiums. If you own an insurance policy and do not make a claim, the insurance company will not refund any unused premiums. To help you track your reimbursements the PhysiciansCare (ASR Corp.) website is secure and can provide you with detailed information on your flexible spending account(s) and PhysiciansCare will send you a statement of your account balances every three month. Also, PhysiciansCare allows you 90 days from the end of the plan year to submit claims incurred during the plan year.
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If my funds run low in the Dependent FSA reimbursement account, can I use funds in my Health FSA to pay for dependent care expenses?
No. IRS rules prohibit transferring funds between accounts.
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Is orthodontia covered under the FSA?
Orthodontia expenses are eligible under the Health FSA. Most orthodontia is paid in monthly installments. The monthly payments within your plan year are eligible for reimbursement. You need to submit to PhysiciansCare (ASR Corp.) either a copy of the financial contract between you and the orthodontist or a monthly statement. Also, the down payment is eligible as long as it is billed within your current plan year.
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Is cosmetic surgery covered or any part of it?
As a general rule, the IRS does not allow cosmetic surgery that is a procedure intended only to improve your appearance. However, it typically does allow procedures that are medically necessary such as surgery to correct a congenital abnormality or to repair damage caused by an accident or trauma.
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Is it really OK with the IRS?
Yes, Section 125 was added to the Internal Revenue Code to allow it. Your reimbursements are not taxable income, but you may not deduct these same expenses on your tax return. You can deduct any additional IRS-eligible expenses that have been reimbursed in accordance with limitations set by the IRS.
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Do I have to have a lot of expenses to participate?
No. You may put aside enough money to cover what you reasonably expect to spend during your plan year. You should not put more than that, because if you do not use the money, you will lose it. The Internal Revenue Service mandates this provision of the law.
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How do I figure how much to put into my medical expense account?
Look at your receipts or check register for the last year or two to see what you spent on medical expenses for yourself and qualified family members. Or, try to think about what you expect to spend on medical expenses during your plan year.
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Can't I get a dependent care tax credit now?
Yes, and you can continue to use your dependent care tax credit OR you can use a Flexible Spending Account. You cannot use both. In general, the Flex account will be more advantageous if your combined annual family income is greater than $25,000. There are limitations on your ability to use both a Flexible Spending account and dependent care tax credit. Please consult a tax advisor to determine the appropriate option for your situation.
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What is the minimum I can put into my account(s)?
There is no minimum.
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- Phone: 269-471-3302
- Email: hr@andrews.edu