Flexible Spending Account

A Flexible Spending Account (FSA) allows you to contribute into an account pretax earnings from your paycheck for reimbursement of expenses you regularly pay for, such as health care and day care. When you use tax-free dollars to pay for certain expenses, such as health and other qualified insurance premiums, prescription drugs, eye-glasses and day care expenses, you realize an increase in your spending power through tax savings.

There are three parts to the Flexible Spending Account in which you can enroll:
1. Health Care Reimbursement Savings Plan
2. Limited Purpose Savings Plan
3. Dependent Care Savings Plan

Health Care Reimbursement Savings Plan
If you are a full-time NREIG employee, you may save additional taxes by redirecting, or “banking” a portion of your salary in a TAX FREE account. The account may be used as needed for out-of-pocket qualified medical expenses incurred by you, your spouse, or your dependents. You do not need to be enrolled in an NREIG medical plan to participate.

You may set aside a maximum of $3,400 in this account each year (pending IRS approval).

Redirected salary will not appear on your W-2 and will be exempt from federal, state and local taxes. Only qualified expenses NOT reimbursed by insurance can be paid from this account.

Limited Purpose Savings Plan
A limited purpose FSA is a tax-advantaged savings account that lets you set aside pre-tax money to pay for eligible dental and vision expenses. This can cover individuals, spouses, and eligible dependents, and can be used in tandem with an HSA to only pay eligible dental, orthodontia and vision expenses.

You may set aside a maximum of $3,400 in this account each year (pending IRS approval).

Dependent Care Savings Plan
Employees may also be eligible to save taxes on dependent care expenses. A portion of your salary may be redirected, or “banked” in a TAX FREE account, and used to reimburse expenses necessary for you and your spouse (if married) to be gainfully employed. You may set aside a maximum of $7,500 (married, filing jointly) in this account each plan year.

Eligible Expenses Include:
• Expenses paid to a dependent care center or care provider for care of dependents under age 13.
• Expenses paid for care of an older dependent who is physically or mentally incapable of self care.

Important Notes Regarding the Flexible Spending Account Plan:
• You may not change your plan elections until the end of the plan year, December 31, 2026 unless there is a significant change in your family status.
• Participants may pay for covered expenses using The CBIZ Benefits Card. If other means of payments are used, a Claim Form must be submitted along with copies of receipts.
• Carry Over Provision: Rather than losing unused money at the end of the year (December 31, 2026) you must request reimbursement of expenses incurred during the plan year within 60 days of your termination date. The IRS requires that any unused funds be forfeited.