Flexible Spending Account (FSA)
The Company’s Medical and Dependent Care Reimbursement Accounts allow you to use tax-free dollars to reimburse yourself for a wide variety of health and/or dependent care expenses that aren’t covered through your other benefit plans. The Company employees also have the option to open an Adoption Assistance FSA in order to use tax-free dollars to help support family growth and related finances.
FSA and Dependent Care Claim Form: CLICK HERE
FSA Store: CLICK HERE
Mobile App Link: WEX Benefits Mobile App
Online Submission
This is available for health care and dependent care reimbursement requests. Follow these easy steps to submit your reimbursement requests:
- Follow the “Guide to Filing Claims” for detailed instructions.
Manual Submission
For eligible expenses, you complete the FSA reimbursement request form and send it to WEX Benefits by mail or fax. Forms are online at www.wexinc.com
Rules and Regulations – Plan Carefully
Plan your annual Flexible Spending Account (FSA) contribution amounts carefully; the election you make when you enroll is binding for the entire plan year (January 1 to December 31) unless you have a qualifying status change. Additionally, the IRS imposes some rules and restrictions on the way you can use FSAs:
- If you incur fewer expenses than you expected to your Health FSA, you will be able to roll-over a maximum of $610 in to next plan year. Any remaining money over the $610 allowed roll-over amount will be forfeited if not used by the end of the plan year.
- You have until March 31, 2025 to submit expenses that you incurred in 2024.
- If you incur fewer expenses than you expected in your Dependent Care FSA, you forfeit any money remaining in your Dependent Care FSA at the end of the year.
- You cannot transfer money from one account to another.
- You can only make changes to your contribution amounts with a qualified status change. These include but are not limited to: marriage, divorce, death of a spouse or dependent, change from part-time to full-time, termination of spouse’s employment, unpaid leave of absence.
- If you choose to move to an HSA qualified medical plan, all your FSA funds must be used prior to enrolling.
Health Care FSA
Health care expenses for yourself and your dependents—such as deductibles, coinsurance, and copays—are eligible for reimbursement from your Health Care account. The annual election maximum amount is $3,050 for the plan year.
Dependent Care FSA
Expenses for dependent care services for children under age 13, a disabled spouse, or incapacitated parent are eligible for reimbursement from your Dependent Care account if you incur them while you and your spouse work or attend school fulltime. Employees can deduct up to $5,000 for dependent care expenses. Unused contributions to the Dependent Care FSA do not rollover and will be forfeited at the end of the year.
Adoption Assistance FSA
Tax benefits for adoption include both a tax credit for qualified adoption expenses paid to adopt an eligible child and an exclusion from income for the employer-provided adoption assistance FSA. The credit is nonrefundable, which means it is limited to your tax liability for the year and any credit in excess may be carried forward for up to five years. The annual maximum amount you may contribute to the Adoption Assistance FSA in 2024 is $15,950. You must reduce the dollar limit for a particular year by the amount of qualified adoption expenses paid and claimed in previous years for the same adoption effort.
Some examples of eligible expenses include:
- Reasonable and necessary adoption fees
- Court Costs
- Attorney Fees
- Traveling Expenses (meals and lodging)
- Any other expense directly related to the legal adoption of an eligible child
- An expense may be a qualified adoption expense even if the expense is paid before an eligible child has been identified. For example, prospective adoptive parents who pay for a home study at the outset of an adoption effort may treat the fees as qualified adoption expenses
Qualified adoption expenses do not include expenses that a taxpayer pays to adopt the child of the taxpayer’s spouse.
The “Use It or Lose It” Rule applies to Adoption FSAs. Both an annual limitation based on the contribution to the FSA for the year and an overall limitation will apply to Adoption FSA requirements.
Who’s Eligible?
An eligible child is an individual who is under the age of 18 or is physically or mentally incapable of self care.
Employees may change their elections for Adoption FSA benefits upon the following:
- The commencement of an adoption proceeding
- An increase in the number of dependents due to a placement for adoption or an adoption
- The termination of an adoption proceeding
- Cost or coverage changes
For more detailed information on tax year credits, domestic versus foreign adoptions, and timing rules, please visit the following link: www.irs.gov/taxtopics/tc607
This benefit is administered through WEX.