SPENDING ACCOUNTS
BJ Baldwin provides the opportunity to participate in a health flexible spending and dependent care account administered by Ameriflex. Since the funds are pre-tax, every dollar you contribute earns you more in tax savings!
FLEXIBLE SPENDING ACCOUNTS
FLEXIBLE SPENDING ACCOUNT
Eligible expenses include medical, dental, and vision expenses and some over-the-counter items. You are able to purchase eligible items online, by visiting the FSA Store: fsastore.com.
You can elect up to $3,200 annually. Your annual election is subject to the use-it-or-lose-it rule, which means you will forfeit any unused funds over $640 remaining in your account when the next plan year begins January 1, 2025.
DEPENDENT CARE ACCOUNT
If you have a child (under the age of 13) or disabled loved one, you might rely on services like daycare or home aide to be able to go to work. Lessen the financial burden by enrolling in this account.
Eligible expenses include daycare, babysitting, and before and after-school programs. You are able to elect up to $5,000. Please note this is a use-it-or-lose-it election, which means you will forfeit any unused funds remaining in your account when the next plan year begins on Janaury 1, 2025.
How does a Flexible Spending Account (FSA) work?
Here’s an example of how a participant can increase their take-home pay by participating in a FSA:
Annual Income
Unreimbursed Expenses
Annual FSA Contribution
Taxable Salary
Tax Deduction (est. 35%)
Net Take-Home Pay
ANNUAL SAVINGS
WITHOUT FSA
$40,000
$2,000
$-
$40,000
$14,000
$24,000
$0
WITH FSA
$40,000
$-
$2,000
$38,000
($13,300)
$24,700
$700
