Glasses getting a little bent and scratched? Haven’t gotten around to making that doctor appointment yet? Make sure that if you have been making FSA contributions that the funds are used by December 31st so that money doesn’t disappear!
As a reminder, a FSA (or flexible spending account) allows you to set money aside on a pre-tax basis to use for qualified out-of-pocket expenses such as dental, medical, vision, and dependent care. Employees usually save an average of 25% to 50% on their expenses; depending on tax bracket.
If you haven’t signed up for your benefits for 2020 and are still in an open enrollment period, make sure to consider whether an FSA would be appropriate for you – an election must be made prior to the start of a new plan year for amount to be withheld out of each paycheck.
Click here for a link of typically eligible expenses: https://www.wageworks.com/employees/support-center/healthcare-fsa-eligible-expenses-table/
For more information contact Julie Helms – Director of Specialty Tax Services or your Lurie trusted advisor.