Flex Spending Account
What is a Flex Spending Account?
A Flex Spending Account (FSA), also called a flex plan or reimbursement account, is a benefit provided by your employer that allows an employee to set aside a certain amount of his/her earnings to pay for qualified expenses (most commonly for medical and/or dependent/child-care expenses). Money deducted from an employee's pay into an FSA is not subject to Federal or State income taxes. Then, during the year you can be directly reimbursed from your account for qualified healthcare and dependent care.
Why should you participate in a Flex Spending Account Plan when you already have health insurance?
A Flex Spending Account is used to pay for expenses that are not covered by health insurance. For example, your insurance may not cover eye exams, eyeglasses, orthodontics, medical supplies, over-the-counter drugs such as allergy medications or aspirin, just to name a few. A FSA can cover co-payments and deductibles.
Flex Spending Accounts are an eligible benefit under the Town of Sutton Cafeteria Plan. A FSA can be elected at the start of employment or the Town's Open Enrollment held each year in May with an effective date of July 1st. You must re-enroll every year at the Open Enrollment period.
The Town of Sutton offers two FSAs:
- Health Flexible Spending Account - Annual Plan Limit - $2,550
- Dependent Care Flexible Spending Account - Annual Plan Limit - $5,000
Employees do not have to be enrolled in any of the Town's health insurance plans to participate in the Flex Spending Plans.
The Town of Sutton Flex Spending Accounts are managed by American Fidelity Assurance Company with a debit card to access your funds in your flex spending or dependent care account(s).
For inquires or to enroll please contact:
American Fidelity Assurance Company
7132 Office Park Drive
West Chester, OH 45069
Office: 877-518-2337 - Ext. 2732