Tip 95- One Way To Offset A Smaller FSA

Flexible Spending Accounts allow employees to set aside funds on a pre‐tax basis to pay for
insurance co‐pays, deductibles, orthodontia and other out of pocket medical, dental and vision
expenses.

During open enrollment season, we’re learning that for 2013, the Affordable Care Act has cut
from $5,000 to $2,500 the maximum contribution to FSAs.

Perhaps now would be a good time to opt in to your company’s voluntary dental or vision plan.
Using insurance for expenses you previously paid using flex dollars, could make up for some of
the loss in contribution limits to your FSA.

And make certain your share of medical, dental and vision premiums are being deducted from
your pay on a pre‐tax basis, too.