Flexible Spending Accounts
Dependent daycare flexible spending accounts (DCFSA) and health care flexible spending accounts- 2012 (HCFSA) are an excellent way to set aside money on a pre-federal, state and social security tax basis, to pay for qualified dependent day care and/or out-of-pocket health care related expenses (premiums excluded). FSA dollars must be used for qualified dependents and/or health care expenses incurred during each calendar year. Qualified dependents do not have to be on your health plans to be eligible for the flexible spending account expenditures.
Dependent Day Care Flexible Spending Account
This plan benefits employees with dependent children under age 13, an incapacitated spouse, or dependent adult who lives with the employee at least 8 hours a day. With this account, you are reimbursed with pre-tax payroll contributions for qualified child and/or dependent adult care expenses. Services must be incurred and contributions must be in the account before reimbursements are made. There is a $5,000 family maximum limit.
If enrolled in the NC State University Childcare Center, please review additional information on Taxation of Childcare Benefits.
Health Care Flexible Spending Account (HCFSA)
Setting aside pre-tax payroll contributions for the Health Care FSA is an excellent way to pay for qualified out of pocket health care related expenses not covered by dental, medical and/or vision insurance plans (premiums excluded). Employees have access to the total amount elected for the calendar year as of January 1 and reimbursement for qualified expenses may occur prior to payroll contributions. The HCFSA account may be used for employee and qualified dependent expenses. A debit card is available for use with the HCFSA.
Monthly Contribution Limits
Dependent Day Care Flexible Spending Account: Minimum of $120/year; maximum of $5,000 per year. If both you and your spouse can contribute to this or a similar plan, the maximum family contribution is $5,000 per calendar year.
Health Care Flexible Spending Account: Minimum of $120/year; maximum of $2500/year maximum for 2013.
Regular (non-temp) SPA/EPA employees who work 20 hours per week (.5 FTE) or greater are eligible to enroll in the this plan.
Employees must enroll within 30 days of their hire date or within 30 days of a qualified life event. Waiting periods may apply outside of the newly hired initial 30-day eligibility period.
Coverage begins the first of the month following your hire/start date. You will be allowed to carry over unused balances for an additional 2 1/2 months. This means if you have money left in your HCFSA or DCFSA on December 31, 2012, you may continue to be reimbursed using your 2012 contributions for eligible out-of-pocket costs you incur through March 15, 2013, unless you terminate from the plan prior to December 31, 2012. You will have until April 30, 2013 to submit your claims for reimbursement.
Your plan terminates on the earlier of the last full payroll deduction date or your last day of employment. If your employment terminates on the 1st through the 15th of the month, your plan would terminate on the last day of the previous month (last full payroll deduction). If your employment ends on the 16th through the end of the month, coverage ends on the date your employment ends.
Enrollment is done through the State’s NCFlex Online System at www.ncflexonline.org. You will need to click on the "Register" button to begin your enrollment process if enrolling in NCFlex Benefits for the first time. If already enrolled in other NCFlex plans, simply log-in with the user ID and password previously established. The NCFlex Online System is administered by the State of North Carolina and is not connected to NCSU’s Unity ID system. For more information: Dependent daycare flexible spending accounts and health care flexible spending accounts
Coverage changes can only be made during annual enrollment (typically October of each year) or within 30 days of a qualified life event (death, birth, marriage, loss of coverage, etc.). Changes are done through the State’s NCFlex Online System at www.ncflexonline.org. Simply log-in with the user ID and password previously established. The NCFlex Online System is administered by the State of North Carolina and is not connected to NCSU’s Unity ID system. Once logged in, click on My Account in the upper right corner. Next click on Add Life Status Change Event. Use the drop down menu to select your qualified life event. This will allow you to make changes to your NCFlex plans.