Flexible Spending Accounts

Flexible Spending Accounts

There are two types of flexible spending accounts available through East Alabama Health: healthcare flexible spending accounts (FSA) and dependent care flexible spending accounts (DCA).  Both accounts set aside pre-tax dollars through payroll deduction and may help reduce the amount of taxes you pay to help cover expenses that you will have during the year.  Health Equity is the provider of our flexible spending accounts.

What are the differences in FSA and DCA?

• Healthcare FSA can be used to pay for things such as copays, deductibles, dental work, eye glasses, contacts, prescription drugs or any other healthcare expenses that are not covered by your benefits.  You can see a complete list by visiting www.irs.gov.
• Dependent Care Accounts can be used to pay for day care, preschool, before/after school care for children under the age of 13 or for day care for a spouse/dependent who is physically or mentally incapable of self-care.  For more information, please visit healthequity.com.

Can I change my contributions?

• The amount of your contributions to the plan must be determined prior to the beginning of the plan year. It cannot be changed unless you have a qualifying life event, you terminate employment, or a change occurs in your dependent care payments which is beyond your control.