FLEXIBLE SPENDING ACCOUNTS
Health Care Spending Accounts (HCFSA)
In order to participate, employees must put in a minimum of $260 up to a maximum of $5000 in their accounts. IRS regulations state, "Use it or lose it." We suggest that employees estimate conservatively, calculating out-of-pocket expenses not covered by health insurance.
Dependent Care Assistance (DeCAP)
In order to participate in the DeCAP program, employees must put in a minimum of $260 and a maximum of $5,000 per year. If you are using the Dependent Care account, make sure the facility is an authorized center.
Medical Spending Premium Conversion
The Medical Spending Premium Conversion Program enables eligible employees to pay for their health plan premium deductions on a pre-tax basis, thereby reducing their gross income for tax purposes. Currently, health plan deductions for basic and/or optional benefits are deducted from your salary. For tax purposes, payments made on a before-tax basis effectively reduce the salary on which your taxes are computed by the amount of the health plan deduction. Therefore, federal and Social Security taxes that must be withheld are reduced. The net effect will be that you receive more money in your paycheck. The booklet and application can be requested by calling (212) 306-7760. Please be sure to read the booklet carefully before signing up for either account.
The TransitCheck Benefit offers employees the opportunity to save on transportation costs on a pre-tax basis. Transit checks can only be used where you purchase your Metro card. Transit checks cannot be used on Metro North, the LIRR, or New Jersey Transit. Learn more at www.cuny.edu/transitbenefit
To find out more information on the above, please visit our Human Resources Office at Kiely Hall, Room 163.