Reminding FSA participants that the end of year is near and to make sure that you have used all the money your FSA account. Receipts must be dated for services rendered in 2006 and claims must be submitted by March 31, 2007.

FSA - Flexible Spending Accounts – End of year coming soon

There are many reimbursable expenses that can be applied to the FSA account, prescriptions co-pays, dental treatments, contacts/glasses, eye exams, chiropractic treatments, medical visit co-pays or out of pocket medical expenses, and many more.

Please contact StaffScapes to get a full list of reimbursable expenses or to request FSA reimbursement forms.

If you are interested in participating in the FSA or would like to offer this benefit to your employees please contact StaffScapes Benefit Department at 303-466-7864

Businesses with PEOs’ ‘Cafeteria Plans’ Give Employees Incentive to Seek Healthcare When Needed

Small businesses can give their employees an incentive to seek medical care and purchase prescription drugs and over-the-counter (OTC) remedies, even with the trend toward higher deductibles, according to experts at the National Association of Professional Employer Organizations (NAPEO). Those businesses that work with professional employer organizations (PEOs) can use “125 cafeteria plans,” which provide a tax advantage for employees who meet their health-case costs with pre-tax dollars.

While cafeteria plans will not stem the cost of health care and insurance, they will help employees offset these costs by lowering their taxable income each year and enabling them to be reimbursed with pre-tax dollars for eligible out-of-pocket medical expenses.  That could make it easier for employees to seek the care they need, rather than defer it as 40 percent say they are doing now.⁽¹⁾

Under the IRS Code Section 125 that defines cafeteria plans, employees can elect to regularly deduct nontaxable health benefit costs they’ve agreed to cover, thus reducing their taxable income. Most PEOs have established a cafeteria plan for the workers at their small-business worksites. It is only through a PEO that most workers at small businesses have access to quality benefit plans such as 125 cafeteria plans.  Without the PEO, most small businesses lack the expertise to establish and administer such a program. 

This is a tremendous service to small-business owners and a major benefit to workers, cafeteria plan gives small businesses and their employees a big-business benefit and may encourage employees to seek the care they need, when they need it.

StaffScapes, Inc. has established a “flexible spending account” (FSA). An FSA allows employees to set aside money from their pay before taxes are withheld, thereby reducing federal income and social security taxes. The health care account reimburses the employee for health care expenses not covered or only partly covered by medical and dental plans. The employee submits a reimbursement form and receipt for an eligible expense after paying for it.

Administration of a cafeteria plan could boggle the mind of the small-business owner. The PEO can provide the expertise and systems to make this plan a reality for the nearly 23 million small businesses in America today – good news for their workers beset with rising medical costs. Milan P. Yager, executive vice president of the National Association of Professional Employer Organizations (NAPEO), noted, “Most Americans like working on Main Street but desire the benefits offered on Wall Street.  The PEO helps fulfill this need.” 

Footnotes:

Principal Financial Group’s Well-Being Index^SM.  www.principal.com  

As the end of 2008 is getting closer, StaffScapes, Inc. wants to remind its FSA participates to use all of the funds available in their FSA accounts.

Some of the expenses that are eligible to be reimbursed under qualified Flexible Spending Accounts are:

-Deductible & Co-pays

-Contacts/glasses and eye exams

-Prescriptions co-pays

-Dental treatments

-Over-the-counter medications

-and many more!

Please contact StaffScapes, Inc. to get a full list of eligible expenses.

***Receipts must be dated for services rendered in 2008 and must be submitted by March 31, 2009.

If you would like more information regarding the Flexible Benefit plan or would like to participate in the 2009 FSA program, please contact StaffScapes Benefit Department at (303) 466-7864.

See Also

• Save Money Today!
  Do you have kids in daycare? What about on going prescriptions? What about medical equipment purchases for diabetes or other illness? Co-pays?

As the end of 2009 is getting closer, StaffScapes, Inc. wants to remind its FSA participates to use all of the funds available in their FSA accounts.

Some of the expenses that are eligible to be reimbursed under qualified Flexible Spending Accounts are:

-Deductible & Co-pays

-Contacts/glasses and eye exams

-Prescriptions co-pays

-Dental treatments

-Over-the-counter medications

-and many more!

Please contact StaffScapes, Inc. to get a full list of eligible expenses

***Receipts must be dated for services rendered in 2009 and must be submitted by March 31, 2010.

If you would like more information regarding the Flexible Benefit plan or would like to participate in the 2009 FSA program, please contact StaffScapes Benefit Department at (303) 466-7864.