A Medical Flexible Spending Account (FSA) can be used to pay for copayments, deductibles, some drugs, and some other health care costs, while a dependent care FSA can be utilized on qualified dependent or elder care expenses. Using an FSA can reduce your taxes.
What is a Medical FSA?
A Flexible Spending Account (also known as a flexible spending arrangement) is a special account you put money into that you use to pay for certain out-of-pocket health care costs.
You don’t pay taxes on this money. This means you’ll save an amount equal to the taxes you would have paid on the money you set aside.
What is Dependent care FSA?
A Dependent Care FSA (DCFSA) is a pre-tax benefit account used to pay for eligible dependent care services, such as preschool, summer day camp, before or after school programs, and child or adult daycare.
You don’t pay taxes on this money. This means you’ll save an amount equal to the taxes you would have paid on the money you set aside.
What are the 2023 FSA account limits?
The limit for 2023 for a Medical/Health care FSA is $2,850 and the dependent care FSA limit is $5,000 for the state of Missouri plans.. Flexible spending accounts must be elected yearly and can be elected during Open enrollment. However, Cafeteria/flexibility spending account elections are done directly on ASIFLEX site versus the online benefits enrollment site.
Learn more about Flexible spending and other benefits during our virtual benefit fair