The Health Care Flexible Spending Account (HCFSA) Program is a way to pay for eligible medical expenses (not covered by insurance) or dental, vision and hearing expenses (not covered by your Welfare Fund/Union) with before-tax dollars.

Medical care means expenses to diagnose, cure, mitigate, treat or prevent disease, or to affect any structure or function of the body.

Generally, employees can enroll during the annual Open Enrollment Period from the middle of October through the middle of November prior to the Plan Year. Employees can also enroll mid-year only if a Qualifying Event occurs.

Per Year

Minimum: $260

Maximum: $3,200

Coverage is extended to yourself, your spouse, and your eligible dependents.

This program pays for deductibles, co-insurance, and eligible out-of-pocket expenses. It covers medical, dental, vision and hearing expenses. You can thus be reimbursed for expenses such as (but not limited to):

• Braces
• Over-the-counter drugs 
  
• Physicals
• Prescription drugs
• Prescription frames/contact lenses
• Psychologist's fees

You may submit claims for any drugs that diagnose, cure, treat, prevent, or mitigate ailments. Sundries, toiletries, and cosmetic items are not eligible. For example, aspirin and cold medicine with a prescription are eligible, but toothpaste and shampoo are not eligible, even with a prescription. Vitamins, nutritional supplements and sunscreens are eligible with a prescription.

You must submit a claims form, and an itemized receipt. The itemized receipt must include the name of the drug, the date the drug was purchased, and the amount paid for the drug. If you do not have an itemized receipt, you must submit a copy of the product box.

By contributing to HCFSA, you not only plan for anticipated expenses but also reduce your gross income for federal and Social Security tax purposes. The end result is that your health care expenses are lower and you save on your taxes.

First, you estimate your pre-tax contribution to your account for the Plan Year. Second, you fund your account through automatic payroll deductions. Finally, you submit a claim for your eligible expenses and a reimbursement check is sent to your home address from your HCFSA account or the reimbursement is automatically deposited into a bank account you have chosen

Please note that Direct Deposit is the fastest way to receive your reimbursement. Check may take up to 10 business days from the time claims are closed to be received.

Each participant will receive a personal account statement every quarter.

The last day to submit claims is December 31st. However, for HCFSA only, there is a Grace Period offered following the end of a Plan Year. During the Grace Period, you may submit claims for eligible health care expenses incurred from January 1st through March 15th following the end of the Plan Year using the remaining balance in your previous Plan Year account, if any. In the event that you are unable to submit HCFSA claims by the end of the Plan Year or accompanying Grace Period, a Claims Run-Out Period is provided following the close of the Grace Period, during which you may submit claims for services performed during the previous Plan Year or accompanying Grace Period. The Claims Run-Out Period ends on May 31st following the end of the Plan Year.

According to IRS rules, amounts not used by the end of the Plan Year or Grace Period will be forfeited.

Contact the FSA Administrative Office at (212) 306-7760.