Did you know that with all the possible changes to the healthcare industry due to the current health care reform that congress is considering eliminating Section 125 Flexible Spending Accounts?  The average family counts on this tax favored benefit to help bridge the continuing rising costs of medical care.  Please contact your elected officials at the website below to stress your concerns.

We invite you to learn more and make your voice heard.  Log on to www.SaveMyFlexPlan.org

What is a Section 125 Flexible Spending Account?

Also referred to as a “Section 125 Cafeteria Plan,”  the purpose of a 125 Flexible Spending Account (FSA) is to help you pay for medical expenses with un-taxed money from your paycheck.  The amount of money you choose to put into your FSA has no statutory limit and is not subject to Federal or State taxes.  However,individual companies maintain the right to place a limit on the account;such as $2,000,$3,000,or more .  Each year,there is an open enrollment period in which participants can designate the amount of contribution they would like to put into their FSA. Once this amount has been chosen,  the employee can not alter the amount they wish to put in and,  unless a change in family status occurs, they may not drop out of the plan during the year.

At the end of the year,  any unspent funds are forfeited.

Examples of what the money in an FSA account can be used for include,  but are not limited to:Chiropractic services,Co-insurance,co-pay amounts and deductibles,contact lenses and cleaning solutions,dental care and procedures,eye surgery,eye glasses,hearing aids and batteries,and over the counter medicines.