At Paradise Ridge Dentistry we here to take the headache out of your Flex Spending Account first by explaining what this benefit is and second by offering you three easy tips.
Flex Spending Account is a program offered by employers that allows you to pay for eligible out-of-pocket health care with earnings before income tax. The discount to you is equal to the amount of tax you would otherwise pay on those earnings. At Paradise Ridge Dentistry we care about providing you state of the art dentistry at affordable prices. We hope the following information will help you when signing up for your tax saving Flex Spending Account.
Three Ease Tips to Eliminate Flex Spending Headaches:
1. Sign Up for Your Flex Spending Account Early
Plan the amount of pre-tax dollars you want to set aside in your Flex Spending Account now. Review your current year expenses and take into account any adjustments you have for the following year such as medical or dental treatment. By using pre-tax dollars you reduce your taxes and save from 20% to 40% you would normally pay for out-of-pocket health care with taxed dollars.
You can set aside $2,500-$5,000 for your expenses, so check with your employer now, and sign up early to start saving for next year. Remember you have to be signed up before your medical or dental treatment begins but you can always adjust the amount until the last day of your open season enrollment.
2. Make Your Employer Aware of Family Status Changes
There is only one opportunity during the year to enrol with your employer for the Flex Spending Account unless you have a “Qualifying Life Event.” This includes any change in your family status such as, marriage, divorce, legal separation, or loss of spouse’s insurance coverage.
It is important to make sure your employer is aware of any of these events so you are able to change your plan and add more coverage if you need additional medical or dental treatment.
3. Manage Your Flex Spending Account Wisely
A Flex Spending Account can reduce your taxes and save you money, however; if you don’t use the dollars allocated the “Use or Lose” rule applies. Any money available in your account after the benefit period will be forfeited. So consider all your medical expenses and call our office for a free consultation and we will help you plan for your dental investments.
Just another way Paradise Ridge Dentistry offers you the best dental care at the lowest prices!
If you want to keep track of you account go to fsafeds.com/GEM.com and click on My Account Summary.