FSA Administrators, Clarity Benefit Solutions, Provides Benefits of Enrolling in a Health Care FSA
NEW YORK, Jan. 3, 2018 /PRNewswire-iReach/ — FSA administrators, Clarity Benefit Solutions, provides benefits of enrolling in a Health Care FSA.
An FSA (Flexible Spending Account) can be purchased by employees—even if they do not have a High Deductible Health Plan (HDHP)—to pay for health care expenses such as co-pays, deductibles, certain drugs, and other healthcare costs. Here are some additional benefits of enrolling in an FSA.
- FSA monies are not taxed. Employees who have an FSA pay less taxes, since they are not paying tax on the monies they have set aside for the FSA. And, this also lowers their tax brackets and increases their take-home pay.
- FSAs pay for over-the-counter and prescription medications. Paying for medications with FSA funds can add up to significant savings for employees. Insulin can also be paid for with an FSA.
- FSA funds can purchase medical equipment. FSA dollars can be spent on equipment and supplies like bandages, crutches, walkers, and medical devices such as blood sugar testing kits.
- FSAs are funded by employers. Employers set up FSA accounts, and employees need only to contribute a portion of their paycheck each month to pay for the expenses they qualify for.
- FSAs can allow a grace period for reimbursement. At the end of the year, a two-and-a-half-month grace period permits an employee to request reimbursement for the previous year’s expenses.
- FSAs can be used to pay big expenses off over time. When an employee uses all his or her FSA funds for the year in one day, he/she is immediately reimbursed—then allowed to pay allocations throughout the year. This means that incurring a big expense at the beginning of the year let employees have ample time to pay off that expense.
Open enrollment is the perfect time for employers to present these advantages, and encourage employees to not only sign up for an FSA account—but to take advantage of the increase in the annual limit. Provide materials that illustrate real-life examples so employees can better imagine how their out-of-pocket costs can be reduced. An FSA calculator is also an excellent tool to estimate co-pays, deductibles, prescriptions, and other health-related items.
About Clarity Benefit Solutions: Clarity Benefit Solutions FSA company, provides technology that makes the health insurance plan selection process fast, easy, and straightforward. For over two decades, we have provided clients with industry-leading technology, compliance, and exceptional customer service. Our offering is designed to save time and lower the costs of managing benefits while also promoting employee self-service and automated ACA compliance.
Media Contact: Calvin Clark, Clarity Benefit Solutions, 732-428-8272, firstname.lastname@example.org
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SOURCE Clarity Benefit Solutions