FSA Administration
In today’s competitive job market, offering comprehensive healthcare benefits is essential for attracting and retaining top talent. By integrating a Flexible Spending Account (FSA) into your benefits program, you provide employees with a powerful tool to manage healthcare and dependent costs more effectively.
FSAs allow employees to set aside pre-tax dollars to cover a wide range of qualified out-of-pocket medical expenses, including copays, deductibles, prescriptions, and even certain over-the-counter items for themselves and their families. The Dependent Care FSA allows employees to set aside pre-tax dollars to cover qualified dependent care expenses. These pre-tax contributions lower employees’ taxable income, translating into immediate tax savings, while simultaneously reducing your payroll tax liability as an employer.
Offering FSAs demonstrates your commitment to employee well-being, helping your team save money and plan for healthcare and dependent care expenses more effectively. Whether you’re looking to enhance your existing benefits package or add value to your healthcare offerings, FSAs provide a cost-efficient solution for both employers and employees.
Take your benefits strategy to the next level with FSA administration—a simple yet impactful way to support your workforce and stay competitive in today’s dynamic employment landscape.
Limited Purpose FSAs
Limited Purpose Flexible Spending Accounts (LPFSAs) are a specialized version of traditional healthcare FSAs, designed to focus exclusively on qualified dental and vision care expenses. These accounts provide a valuable opportunity for employees to save pre-tax dollars for routine or unexpected dental and vision costs, such as exams, orthodontics, glasses, or contact lenses.
LPFSAs are especially beneficial when paired with Health Savings Accounts (HSAs). For employees contributing to an HSA, the LPFSA is the only type of healthcare FSA they can simultaneously use without affecting their HSA eligibility. This combination empowers employees to maximize their savings across both accounts while addressing specific healthcare needs efficiently.
By offering Limited Purpose FSAs, you give your team a flexible and tax-advantaged way to manage out-of-pocket dental and vision expenses. For employers, this benefit enhances your overall package, demonstrating your commitment to employee wellness and providing a competitive edge in talent attraction and retention.
Integrating an LPFSA into your benefits program not only supports your workforce but also aligns with your broader strategy of delivering cost-effective and comprehensive healthcare solutions. It's a smart addition to any benefits portfolio that balances employee needs with organizational goals.
Dependent Care FSAs
A Dependent Care Flexible Spending Account (FSA) is an invaluable benefit that helps your employees manage the often-overwhelming costs of dependent care. This account allows employees to set aside pre-tax dollars for eligible care expenses, reducing their taxable income while addressing a critical financial need.
Employees can contribute up to $5,000 annually to cover a wide range of dependent care expenses, allowing both parents to work, including:
- Daycare for children under age 13
- Before- and after-school care programs
- Summer camps and educational programs
- Care for dependents over age 13 who cannot care for themselves due to a disability
By offering a Dependent Care FSA, you not only provide a meaningful solution to ease the financial burden of dependent care but also foster a more focused and productive workforce. Employees can work with peace of mind, knowing their loved ones are cared for while they pursue their careers.
For employers, this benefit delivers an added advantage: increased payroll tax savings, which contribute to your bottom line. At the same time, it positions your organization as an employer of choice, showing your commitment to work-life balance and employee well-being.
Incorporating a Dependent Care FSA into your benefits package is a strategic decision that supports your team, enhances employee satisfaction, and reinforces your competitive edge in attracting and retaining top talent.