Your Flexible Health Spending Account
Your employer helps cover the cost of your drug, dental, vision and medical expense by making regular contributions to your health spending account.
Your Personal Benefit Budget
Your employer makes regular contributions (usually monthly) to your health spending account that you can use to be reimbursed for drug, dental, vision & medical expenses that you have your yourself and your family.
Because this is a tax-free benefit, there are some income tax rules:
- The list of medical products and services that may be reimbursed is long.
- Not everything related to your health may be reimbursed.
- Expenses may be for you, your spouse, and your children. In some circumstance adult children and other dependents may be covered.
- Expenses need to be claimed in the year that the product or service was purchased. The cover of your benefit booklet will show if your unused contribution or claims may carry forward one year.
Advantages to You
- Health benefits are non-taxable compensation (tax-free).
- You decide what is covered with each healthcare purchase decisions by purchasing (no exclusion other than the Income Tax rules)
- Your claims are fully paid, as permitted by law and to the extent of your health spending account balance.