Flexible Spending Account

To check your balance go to: www.gdynamic.com

Haven't implemented a Flexible Spending Account yet? Concerned by the burdensome paperwork?

 

Flexible Spending Accounts are tax-favored accounts that allow participants to set aside money pretax for eligible Medical and Dependent Care costs. The way that you benefit from enrolling in this plan is that you do not have to pay Federal, State or FICA taxes on the money that you set aside into these plans, thereby saving between 15 and 40% (depending upon your tax bracket). 

 

In order to take advantage of the tax savings, you are required to enroll in the Flexible Spending Accounts each year. Even if you would like to maintain the same level of coverage from one year to the next, you must actively enroll in the plans each year during the University's open enrollment.

 

Medical Spending Accounts - Covers eligible healthcare expenses not reimbursed by any medical, dental, or vision care plan you or your dependents may have.  Eligible dependents for this account include your spouse, children, and any other person who is a qualified IRS dependent.

 

Dependent Care Reimbursement Account - Covers eligible dependent care expenses incurred so you can work, or if you are married, so you and your spouse can work, or your spouse can attend school full-time and/or look for gainful employment. Eligible dependents are your children under age 13 and any other person who is a qualified IRS dependent, regardless of age, who is mentally or physically incapable of caring for him or herself. Additionally, the dependent cannot have income greater than the federal exemption level for that year (Please review the IRS guidelines). Please note that the Dependent Care Assistance Program is not for your out-of-pocket medical expenses incurred by your dependents. It is typically used to receive a tax break for childcare expenses such as daycare or babysitting, but can be used for caregiver expenses incurred by any of your dependents that meet the Federal guidelines.

 

Deduction limits are in accordance with the IRS regulations under Healthcare Reform Act