Flexible Spending Account
A Flexible Spending Account (FSA) is a tax-favored savings account funded solely by the employee through regular pre-tax payroll deductions under Section 125 of the tax code.
FSA funds can be allocated for eligible medical, dental, vision, prescription and dependent daycare expenses, and can be withdrawn tax-free. Employees have the ability to elect their contributions for each pay period. These elections can be changed annually or upon a qualifying event such as marriage or divorce.
Did You Know?
The average American working employee spends over $1,000 annually on these types of benefits. By participating in an FSA, an employee’s taxable income is reduced, which increases the percentage of pay they take home
