Flexible Spending Accounts

Cafeteria plans allow insurance premiums to be deducted from employees’ salary pre-tax, decreasing federal, state and FICA income taxes and increasing spendable income. The plan also decreases the employer’s FICA and payroll tax obligations. Flexible Spending Accounts can be included as a benefit option, allowing employees to pay for out-of-pocket medical and childcare expenses with tax-free dollars.

Plan types

• Health Care FSA — for out-of-pocket medical, dental and vision expenses.
• Limited Purpose FSA — used in conjunction with an HSA, restricted to dental and vision.
• Dependent Care FSA — for childcare and eligible dependent care expenses.

What we handle

BeneSkill offers services including plan design and consulting, plan implementation, claims adjudication, daily payment processing, and online web access for both the employer and the employee.

The employer tax angle

The FICA savings on employee pre-tax contributions frequently exceed the cost of administering the plan. For most employers the account is not a cost center — it is a net reduction in payroll tax that also happens to be a valued benefit.

What’s included

• Online resource center for participants and employers
• Web and call center support
• Website access for claims and balances
• Mobile app
• Benefit debit cards
• Quick reimbursement of out-of-pocket expenses
• Full reporting capability for employers
• Plan design assistance
• Summary Plan Description
• Online employee enrollment
• Online employer reports
• Online nondiscrimination testing
• Direct deposit
• Two-day claim review
• Daily reimbursements
• Proactive customer service that maximizes employee benefit