FSA - HSA - HRA Spending & Savings Accounts
Flexible Spending Account (FSA)
Flexible Spending Account (FSA) Flexible Spending Account- pay for out-of-pocket medical, dental, and vision expenses for you and your dependents with pre-tax dollars. Your full annual contribution election amount is available upfront Dependent Care FSA - is used to reimburse expenses related to the care of eligible dependents while you and your spouse work. Funds are available as you deposit them through Payroll deductions Limited FSA - a plan option for those on the HDHP with a HSA account. Use for dental and vision expenses only. Your full annual contribution election amount is available upfront You can save approximately 25% of each dollar spent on these expenses when you participate in an FSA.
FSA 2018 Contribution Limits The maximum that you can contribute to your health care FSA or limited FSA is $2,650. The maximum that you can contribute to the dependent care FSA is $5,000 if you are single or married filing jointly, or $2,500 if you are married and filing separately. If you do not use the money that you contributed, it will not be refunded to you or carried forward to a future plan year. This is the use-it-orlose-it rule.
Auditing The IRS requires that you prove all of your card swipes are for eligible expenses or your card can be suspended or stopped. The card is programmed to recognize many eligible expenses at a store cash register. When the swipe matches an eligible expense, you are good. If there is no system match, like at hospitals, dentist or doctor s offices, Chard Snyder will reach out to obtain that back up. Chard Snyder will reach out via e-mail or letter. You need to reply with the letter and the valid backup documentation. They will generally contact you 3 times, and allow for 90 days to respond before suspending the card. KEEP YOUR RECEIPTS!
Health Savings Account (HSA)
Health Savings Account (HSA) Must be enrolled in a qualified HSA medical plan (High Deductible Plan) Cannot have any other health coverage (this applies to the employee only) Not covered by spouse s medical or pharmacy plan Not covered through Medicare or through TRICARE Not covered through a general-purpose Flexible Spending Account (FSA) plan (either employer s or spouse s) Cannot be claimed as a dependent on another person s tax return
HSA 2018 Contribution Limits Under age 55: up to $3,450 if enrolled with Single coverage in 2018 up to $6,900 if enrolled with Family coverage in 2018 up to $3,500 if enrolled with Single coverage in 2019 up to $7,000 if enrolled with Family coverage in 2019 Age 55 or older: Maximum contribution increases by $1,000 (considered a catch-up contribution)
Paying for Expenses with the HSA You can use HSA money only for expenses incurred after the account is established Use your Chard Snyder HSA debit card to access your HSA dollars You can only pay expenses from your HSA based on the balance in the account (similar to a checking account). Use of HSA funds for nonqualified medical expenses is subject to income tax and a 20% penalty. You must keep your own medical expense receipts for documentation, in the event you are audited. Any funds used for nonqualified expenses must be filed on your tax return.
HSA Managing Your Account Using your debit card Use to pay for prescriptions, medical bills, dental bills, vision out of pocket expenses. Requesting additional cards Request a card for your spouse or a dependent such as a child away at college. Statements are available online E-mail to personal address on file. Investing your money You start investing your money with a minimum account balance of $4,000 Transfer money from investments to pay health care expenses Claims cannot be paid from your investment account Funds roll over from year to year. No use it or lose it rule with the HSA. Your contributions from payroll deductions + City s contributions = YOURS!
Health Reimbursement Account (HRA) Wellness Incentive Program
HRA How it works Receive HRA credits throughout the year for routine screenings Initial credit of $150-$200 through payroll (depending on the plan you are enrolled in) when you have a blood draw and follow up Must schedule blood draw at the City Clinic within 30 days of your benefits effective date or during annual Open Enrollment window Spouses can participate as well - must have own blood draw Credits are posted to the Chard Snyder Spending Account card quarterly Use for medical, dental and vision expenses for you and your dependents Dependent children are not eligible to participate Outside procedures need to be submitted to City Clinic Health Coach for crediting Credits must be used in the same calendar year for HRA, but roll into the HSA if you have one set up. The funds will carry over from year to year.
Tracking Wellness Credits Access your credits on HealthPassport site www.careatc.com My Incentives Contact Susanna Hagan, Health Coaching with CareATC 770-502-6105 susannahagan@careatc.com Contact Benefits Team Kim Leon 678-989-3394 kimberly.leon@gainesville.org Tiffany Hill 770-531-2678 tiffany.hill@gainesville.org
Spending Account Plan Options Spending Account Plan Options No Medical Coverage Traditional Medical Plan High Deductible Plan Can Participate in FSA (Medical and/or Dependent) Can Participate in FSA (Medical and/or Dependent) Can Participate in HSA Can Participate in HRA (Wellness Incentive Program) Can Participate in Limited FSA and/or Dependent FSA Can Participate in HRA (Wellness Incentive Program) and is rolled in with HSA account funds
Re-Cap Plans FSA You contribute pre-tax into annual account. Funds must be used in the same calendar year or you forfeit the balance. HSA You contribute pre-tax into the account, you can also receive funds from the City. The funds roll over from year to year if unused. HRA You participate in the wellness incentive program and earn funds to spend on medical, dental, and vision expenses. The funds must be used in the same calendar year. *Funds roll over if in the HSA.
Chard Snyder Benefits Card (formerly Benny Card) Any account selected will receive a Benefit Card (FSA-HSA-HRA) New design effective 9/1/18 for new accounts or replacement cards Chard Snyder Contact Information 1-800-982-7715 www.chard-snyder.com
NEW for 2019! City Funded HSA January $1,000 March $200 May $200 July $200 September $200 November $150 TOTAL $1,950 3 Ways to Fund your HSA in 2019 You contribute bi-weekly through Payroll Deductions You participate in the Wellness Program You receive additional funds from the City
Healthgram Rewards Program Launched in 2018 Use identified low cost providers and receive the reward No account set up, no forms to complete, no minimum to spend You receive a check directly from Healthgram Checks are issued quarterly Can call Aaron with HealthConnect to locate low cost providers (866-904-9081) Covered family members are also eligible to earn rewards