Section 125-FSA Enrollment Forms S125 (Cafeteria) Plan Info
A cafeteria plan is a type of employee benefit plan that allows employees to choose between different types of benefits, similar to the choice of items in a cafeteria. Qualified cafeteria plans are excluded from gross income.
The district offers a Premium Only Plan (POP) that allows you to pay for qualified benefit insurance premiums before any taxes are deducted from your paycheck. In addition, there are two Flexible Spending Accounts or FSA’s.
An FSA allows an employee to set aside a portion of earnings to pay for qualified expenses such as medical and/or dependent care costs. The money deducted from an employee’s pay into a FSA is not subject to payroll taxes, resulting in a tax savings plan. One disadvantage is that funds not used by the end of the plan year are lost to the employee and forfeited back for administrative costs.
A medical FSA can be used to pay for expenses not paid for by insurance, usually deductibles, copayments, coinsurance amounts and allowable over-the-counter items. The medical FSA amount is $2,550 per year. Employees can elect any amount up to and including this amount.
A dependent care FSA can be used for certain expenses to care for dependents that live with you while you are at work. This can include children under thirteen, children of any age who are physically or mentally incapable of self-care, and senior citizens who live with you. The dependent care FSA amount is $5,000 per year per family. Employees can elect any amount up to and including this amount.
If you are interested in any or all of these plans, please complete the attached enrollment form and return it to Nichol Leischker, Benefits Coordinator in Central Office. The plan is based on the calendar year and will run from January through December. We will be using a debit card system implemented and overseen by Discovery Benefits. More information (guides and video link) can be found on the district website under HR/Health Benefits/S125 Plan Info.