Flexible Spending (Section 125)
A Flexible Benefits Plan through Chard Snyder will:
- Boost your take-home pay
- Lower your medical costs
- Cut your income taxes
- Reduce your day care costs
It works like an expense account. You automatically set aside part of your salary (before taxes) to pay for qualified medical, dental and vision expenses or dependent care. You save money because you don’t pay taxes on the money you set aside. And you can use it to pay for day care, medical and prescription drug costs that aren’t covered by insurance,as well as over-the-counter medicines and drugs you buy every day. It’s a great perk from your employer and it’ll save you money.
Effective January 2, 2018, the IRS maximum elections are currently set to be $2,650 for Medical FSAs and $5,000 for Dependent Care FSAs.