Flexible Benefits - Overview
- Premium Conversion (Pre-Tax Premiums) lowers your taxable income because health insurance premiums are deducted from your paycheck before taxes are calculated.
- Flexible Reimbursement Accounts (Flexible Spending Accounts) allow you to set aside part of
your pay each pay period on a pre-tax basis for one, or both,
of these accounts:
- Medical Reimbursement Account to pay for the out-of-pocket medical, dental, and vision care expenses not covered by your health benefits plan.
- Dependent Care Reimbursement Account to pay expenses for the care of your child, disabled spouse, elderly parent, or other dependents who are physically and mentally incapable of self-care so that you (and your spouse) can work or actively seek work.
Since the Flexible Benefits Program has tax advantages, there are tax laws and Internal Revenue Service regulations governing how the program operates. For more detailed information or clarification, see your agency's Benefits Administrator.
The Open Enrollment period for the Flexible Reimbursement Accounts will occurs each spring. During this period, eligible employees are allowed to enroll in one or both Flexible Reimbursement Accounts (FRA). Enrollment in a Flexible Reimbursement Account is effective July 1 and ends on June 30 of each year.
Any decision you make regarding your Flexible Benefits accounts, such as enrolling, ending participation, or changing your contribution amounts, is called an election. You must make an election each plan year to participate in the Flexible Reimbursement Account(s).
To make your election(s) during the spring for enrollment in the reimbursement account(s), use EmployeeDirect or complete the FRA section of the Eligibility and Active Enrollment Form for Employees and submit it to your agency's Benefits Administrator. After the close of the election period, no changes can be made, unless the employee experiences an event that would allow a mid-year election change. (See Enrolling and Making Changes).