Employees may contribute funds to an FSA account through pre-tax payroll deductions and withdraw the funds tax free to pay for qualified medical expenses. Funds can by used to pay qualified expenses incurred between October 1 and December 15 of the following year. Coverage is scheduled to begin October 1, or, if hired after October 1, following your 30th consecutive day of employment.
Once the employee designates how much he/she wants to contribute, the employee is not allowed to change the amount or drop out of the plan during the plan year unless he/she experiences a change in family status.
The maximum amount an employee can contribute annually is $2,600. The funds can be used to reimburse all qualified expenses for the employee and IRS eligible dependents regardless of whether they are enrolled in the City’s health plan. 100% of elected funds are available for you to use on your effective date. By law, the employee forfeits any unspent funds in the account at the end of the plan year.
Employees will receive a debit card which can be used at the point of service. Claims can also be filed online, by mail, or fax. Employees must retain documents that support and validate debit card transactions. In some cases, employees may be required to submit the receipts or records to substantiate a claim.
Go to tasconline.com to manage your Health FSA.