Most employees pay for expenses such as dependent care expenses, out-of-pocket medical/dental expenses, prescription drug co-payments etc, on an after tax-basis.  The Flexible Spending Account allows you to set aside a portion of your paycheck pre-tax to pay for those expenses.   The result is a reduction in Federal, State and Social Security taxes, which will give you an increase in your take home pay.  The Healthcare Flexible Spending Account helps offset your out-of-pocket medical expenses, up to $1,500 a year.  Participants receive a Debit Card to pay for eligible expenses at the point of purchase.  The Dependent Care Spending Account helps offset your costs, up to $5,000 a year, for Daycare, Pre-school and Summer Camp, and reimbursement is convenient since only one form per provider needs to be submitted each year.   

If you have any questions regarding the program please contact Cafeteria Plan Advisors directly @ 781.848.9848.