Save on healthcare costs by contributing pre-tax earnings to a Healthcare Flexible Spending Account (FSA).
A Healthcare Flexible Spending Account (FSA) is designed to allow you to set aside pre-tax dollars to pay for IRS-eligible related expenses such as medical, vision, dental and other out-of-pocket expenses.
Depending on how your FSA plan is set up, you may be able to carry over up to $500 of unused funds to the following plan year. In October 2013, the US Department of Treasury modified its long-standing FSA “use it or lose it” rule, allowing FSA plan participants to rollover up to $500 of unused FSA funds, rather than the traditional funds forfeiture.
Simply put, FSAs are now more powerful than ever!
The bottom line: FSAs save you money. The contributions you make to an FSA are deducted from your pay check on a pre-tax basis – before federal income, social security, and most state taxes.
The end result of your FSA contributions is a lower taxable income, and a tax advantaged vehicle to pay for out-of-pocket healthcare expenses.
We make accessing your FSA funds a breeze!
Similar to a credit card, your Difference Card will be funded with your employer’s account and your FSA dollars. This means when you use your card, it’s programmed to know which account to take money from.
Plus, your entire annual contribution amount is available immediately at the beginning of the plan year to pay for eligible health care expenses!
When you use your Difference Card to make a qualified purchase, the amount is automatically deducted from the available balance in your account. This means no paper claim forms and receipts to submit! The Difference Card helps to eliminate the manual paperwork often associated with Healthcare FSAs.