Save Taxes and Manage Health Care Costs Presented by Sam Ramirez.

Save Taxes and Manage Health Care Costs

Presented by Sam Ramirez

Q: What are flexible spending accounts?A: Accounts where you can set aside pre-

tax dollars to pay for medical or dependent care expenses

Q: Why should you want to learn more?A: To save tax dollars, smooth out costs

Q: Who administers the benefit for B-W?A: Finance, Human Resources and Payroll

Q: Who is eligible to participate?A: B-W Employees, even if they do not

have our health care plan, special rules apply for Dependent Care Account

Q: What accounts are available?A: Medical Care and Dependent Care

Reimbursement Accounts

Q: How much can I set aside in each account?

A: Up to $2500 in medical and $5000 in dependent care account

Q: How do I determine how much to set aside?A: Review past expenses and be a little

conservative

Q: Can I change the amount I set aside?A: Generally not unless it is a qualifying event.

Q: What are some eligible expenses?A: Co-pays, co-insurance, deductibles, items that

are not covered by plan (glasses, braces, etc.)

Q: What are some ineligible expenses?A: Vitamins, face-lifts, OTC drugs, animal drugs,

etc.

Q: When do I have access to the money?A: Immediately, for medical care, after it

has been deducted from your pay for dependent care

Q: When must expenses be incurred?A: January 1, 2014 through December 31,

2014

Q: How does expense reimbursement work?

A: Submit claim form to Finance

First, enrollIncur eligible expense – get receiptYou can request reimbursement for

medical anytime after it’s been deducted for dependent care

As you incur eligible expenses and you pay for a service – submit claim form and receipt

Within a few days you will receive your check

Q: What happens if I have money left over?

A: NEW - Beginning in 2014 for year 2015, up to $500 in unused funds from medical account can be carried over . Anything over $500 is forfeited.

Q: How does it actually save me money?A: Reduces gross taxable income

Q: Who do I submit claims to?A: Finance – Lisa Giesen

Q: Where do I get claims forms?A: HR or on-line

bw.edu/resources/hr/forms

Q: How long does it take to get money?

A: Not long – couple of days

Q: When is the last day I can submit a claim for this year (2014)?

A: March 31, 2015

Q: Do I need to re-enroll every year?A: Yes

Q: What if the amount I am going to set aside next year is the same, do I still have to re-enroll?

A: YES!

Q: Where do I get the enrollment form?

A: Visit HR’s web site.

Complete top portionName, last 4 digits SSN, departmentCheck New Enrollment

Biweekly (24 pays)First line – biweekly amountSecond line – Total for Year

Monthly (12 pays)First line – Monthly amountSecond line – Total for Year

Medical Reimbursement Account is for employee, spouse and dependent children health-related expenses

Dependent Care Reimbursement Account is for spouses, parents and typically dependent children of employees – after school care – nursing home – etc.

www.bw.edu/resources/hr

www.bw.edu/resources/hr/forms