Flexible Spending Accounts
Flexible Spending Account (FSA)
A Healthcare FSA allows you to set aside pre-tax dollars for your out-of-pocket health care expenses, e.g. physician fees, prescription drug copayments, deductibles, dental expenses, prescription eyeglasses, and contact lenses (for a complete list visit www.irs.gov/publications/p502). At the beginning of the plan year, you will choose how much you want to contribute to your FSA. The amount you elect will be for the entire plan year and will be deducted from your paycheck in equal increments throughout the year. However, your entire deferral will be made available to you up front. The annual maximum for 2024 is $3,200 with a $640 carryover limit. The annual maximum for 2025 is $3,300 with a $660 carryover limit.
The Dependent Care FSA helps you to save for the care and supervision of your child. By contributing a portion of your payroll dollars into your Dependent Care FSA, you can save for the services you incur. The maximum annual contribution you can make to your Dependent Care FSA is $5,000 per family for the 2024 calendar year ($2,500 if you're married and filing separately). These limits will remain the same for 2025. Only the amount you've contributed is available for claim, and you will need to submit claims for reimbursement from your account. Some common eligible expenses include child care, preschool, before and after school care, and day camps. School tuition and overnight camps are not eligible.
Before you get started, take a moment to read though these FAQ’s.
ROLLOVER AMOUNTS AND DEADLINES
- If you are participating in any FSA account, read below for details and check your account balance immediately to ensure you’re on top of your reimbursements.
- Healthcare FSA: The carryover limit is $640 into 2025 from 2024 funds. Remaining unused funds above that amount will be forfeited. The carryover limit from 2025 to 2026 is $660.
- Dependent Care FSA: There are NO carryover amounts allowed from these accounts.
Can’t remember if you enrolled in an FSA? Log into ADP and check your benefit enrollments. Because this program is IRS regulated, Sana cannot make exceptions if the deadline is missed.
If you would like to file claims for reimbursement or have additional questions you can go to www.naviabenefits.com or give Navia a call at 425-452-3500. Sana's company code is SBG.
FSA FAQ
- You decide how much to contribute. The annual amount you elect to contribute is then deducted from your paychecks evenly throughout the year, on a pre-tax basis.
- Be sure to plan carefully! Because these are pre-tax benefits, IRS rules require that you may have to forfeit any unused money left in your account at the end of the plan year.
- The Health Care and Dependent Care FSAs are separate accounts. you cannot use one type of account to pay for the other type of expense.
- You cannot claim a tax credit or deduction for any services or expenses that you reimburse through an FSA. Similarly, you cannot use an FSA to reimburse expenses for which you claim an income tax deduction.
- Your tax dependents do not need to enrolled in your benefits to be able to use the FSA funds.