How do Flexible Spending Accounts work?
Salary reductions designated for child care or medical/dental expenses are accumulated in a “reimbursement account” on behalf of the participant pending submission of claims for reimbursable expenses. (An individual cannot “lump” his or her reduction to correspond to a particular part of the year. Instead, the annual reduction is divided into equal payroll reductions throughout the year.) Expenses are reimbursed until the cumulative total equals the annual amount designated.
With a Flexible Spending Account (FSA), you will be able to pay for certain health care and dependent care out-of-pocket expenses with before-tax dollars. The salary reductions that you designate for health care or dependent care expenses are accumulated in a “reimbursement account” on your behalf, pending submission of claims for reimbursable expenses. (You cannot “lump” your reduction to correspond to a particular part of the year. Instead, the annual reduction is divided into equal payroll reductions throughout the year.) Expenses are reimbursed until the cumulative total equals the annual amount designated. You may participate in the Health Care (Medical/Dental) Expense Reimbursement Account and/or the Child/Dependent Care Expense Reimbursement Account. To enroll or re-enroll in an FSA for 2010, log in to the University portal (www.yale.edu/portal) and click “My Benefits.” Please note: For 2010, Your Spending Account (YSA) will replace ADP as the Flexible Spending Account (FSA) adm
