|
A Flex Plan (FP) or a Flexible Spending Account (FSA) or a Medical/Health Savings Account (MSA) is a benefit package option developed to provide you with flexibility in spending on your health care choices including laser vision correction. Unlike the traditional standard benefits package, both FP, and FSA benefits give you and your company the opportunity to create the benefits package that will be most beneficial. These plans are usually open to all permanent employees of a company. Many companies permit you to review your benefit choices each year to ensure they continue to meet your personal needs.
FP and FSA are also very attractive because your flex plan account is a tax shelter. Each pay period, your FP or FSA dollars are withdrawn from your paycheck before taxes, allowing you to use your expected health expenses tax free. Similarly, a Medical/Health Savings Account (MSA) allows you to use this pre-tax investment for laser vision correction.
Due to IRS regulations, your employer cannot return to you any of the funds remaining in your Flexible Spending Account or Flexible Savings Account at year’s end. If the amount you elect to set aside in your flex account exceeds your actual expenses that year, the excess amount will be forfeited. Excess amounts cannot be carried over from one plan year to the next.
Because of this policy, you may have a remainder of FP or FSA funds that should be used quickly, and what better way to spend your Flex Plan funds than on great vision.
|