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What is the FSA? Does it have anything to do with the HSA or HRA?

The HealthCare FSA is a tax-free account that allows a person to pay for essential health care expenses that are not covered or are partially covered by your medical, pharmacy, dental and vision plans. The FSA plan year is July 1, 2022, through June 30, 2023. The 2023 FSA open enrollment will be held in May 2022. To participate in an FSA, you must enroll within 60 days of your hire date or during open enrollment each year for the upcoming plan year. For more information regarding the FSA contact United Medical Resources (UMR) at 1-888-763-8232.

The FSA is a use it or lose it account and the HSA/HRA rolls over from year to year, month to month. The FSA does allow up to $550 to roll over from year to year.

An HSA is a Health Savings Account that also receives tax-free contributions from PEBP but also allows the participant to make voluntarily contributions to their HSA through pre-tax payroll deductions. If you leave State Service the money will stay with you until it is spent by you. Not everyone is eligible for an HSA.

An HRA is a Health Reimbursement Arrangement with only PEBP contributions. You are not eligible to make your own contributions to this account. If you leave State services this money will go back to the State. Everyone enrolled in the CDHP PPO plan is eligible for an HRA.

Categories: Flexible Spending Account, Health Reimbusement Arrangement, Health Savings Account