Flexible Spending Accounts
The DSEHP strives to ensure DPS employees get the care and medical supplies they need for the lowest price possible with the option of a Flexible Spending Account.
As you know, health care and day care expenses can really add up. Flexible Spending Accounts give you a way to pay for these expenses with tax-free dollars. Because you bypass taxes, you save money.
There are two types of accounts:
- Health Care Flexible Spending Account-Up to a $3,200 annual election
- Active employees may roll over up to $640
- Dependent Care Flexible Spending Account-Up to a $5,000 annual election
You may choose to participate in one or both of these options, depending on your individual needs.
Flexible Spending Accounts allow you to save money because your contributions to the accounts are deducted from your pay before Federal and Social Security taxes are calculated. The amount of savings you will enjoy by participating in a Flexible Spending Account will depend on your individual tax bracket and the amount of money that is withheld from your paycheck on a tax-free basis.
- The Health Care Flexible Spending Account is designed to help you pay for health expenses that are not covered by your basic health plans, including deductible amounts you have to pay and copays or co-insurance amounts required by your insurance plans. Eligible expenses also include many expenses that may not covered by your vision or dental plan.
- The Dependent Care Flexible Spending Account is similar to the Health Care Flexible Spending Account; it allows you to pay for eligible dependent day care expenses with pre-tax dollars. To decide whether a Dependent Care Flexible Spending Account is right for you, determine if you will incur eligible expenses. Generally, child and elder care companion services are eligible expenses, as are Social Security and other taxes you pay a caregiver.
Detailed information can be found on the PlanSource website about both of these plan options.
Any question about these accounts can be directed to PlanSource at:
For full information regarding this offering, please refer to your Union’s Benefits Guide. If you have any questions regarding coverage, please reach out to PlanSource at 888-222-4309 for more information.