| Health Care and Dependent Care Flexible Spending Accounts (FSAs) provide a method to pay for expenses not covered or only partially covered by an employer’s medical, dental or vision plans and for qualified dependent care expenses such as child day care. Each type of account is designed to serve different needs and accounts may not be combined. You may participate in either or both FSA accounts even if you choose to waive Loyola’s medical coverage. FSA’s reduce your total taxable income, which results in savings of Medicare, Social Security, federal and most state income taxes. Tax savings are based on the total contributions made into these accounts. You may direct funds into either or both accounts by authorizing money to be deducted from your paycheck. Funds not claimed are forfeited under the "use it or lose it" federal requirement. The maximum plan year contribution for 2006-2007 is $5,000 for dependent daycare and $5,000 for the medical reimbursement account. Link to Hirsch Financial Services, Inc. | |
