Navigating Your Dependent Care FSA: Eligible Expenses and Smart Strategies
A Dependent Care Flexible Spending Account (FSA) is a handy financial tool that allows you to manage dependent care expenses using pre-tax dollars, effectively increasing your take-home pay. It covers various forms of care, including childcare, before/after-school programs, summer day camps, and care for disabled dependents. However, there are restrictions. For instance, coverage does not […]
Did you know your Flexible Spending Accounts (FSAs and DCAs) need Discrimination Testing?
Flexible Spending Accounts (FSAs) and Dependent Care Accounts are valuable employee benefits offered by many employers to assist workers with managing healthcare and dependent care expenses. However, to ensure these accounts comply with regulations and aren’t unfairly advantageous to higher-paid employees, discrimination testing is mandated by the Internal Revenue Service (IRS). Purpose of Discrimination Testing […]
2024 Inflation Adjusted Amounts for Health Savings Accounts (HSAs)
Recently, the Internal Revenue Service (IRS) announced (See Revenue Procedure 2023-23) cost-of-living adjustments to the applicable dollar limits for health savings accounts (HSAs), high-deductible health plans (HDHPs) and excepted benefit health reimbursement arrangements (HRAs) for 2024. All of the dollar limits currently in effect for 2023 will change for 2024, with the exception of one limit. […]
