Flexible Spending

What is a flexible spending account, or FSA?

Flexible spending accounts, also called flexible spending arrangements, allow people to use tax-free contributions from their paychecks for specific expenses. There are several types of FSAs, but the most common are health FSAs, which participants can use to pay for medical and dental costs that aren't covered by insurance.

With an FSA, you'll decide how much you want to contribute (up to the cap) at the beginning of the year, and your employer will deduct a portion of it from every paycheck.

FSAs must follow a "use it or lose it" system where unused funds at the end of the year are forfeited. Employees do get up to a 2.5-month grace period (that is, until March 15th of the following year) to spend FSA funds.

Coverage

All non-temporary St. Louis County employees are eligible to enroll in flexible spending after one full calendar month of employment.

Each year you will choose to participate in St. Louis County's Flexible Spending Plan. The program could produce real tax savings to you, but it does require that you plan for any anticipated expenses for the entire plan year. Once the Plan Year begins, you may not make any changes to either the allocation of monies or accounts without a qualifying family status change event. Your choices and the amounts you allocate to them will depend solely on the needs and expenses of you and your family. All unclaimed contributions will be forfeited. A grace period will occur each year between January 1 and March 15th. Expenses incurred during the grace period will first be reimbursed with any unclaimed flex funds from the prior year and then reimbursed with any current year flex funds.

Flexible Spending Program Booklet

Cost

Maximum Flex Elections:

2024:
Health Care Reimbursement Account cap = $3,200 per participating employee
Dependent Care Reimbursement Account cap = $5,000 per tax return ($2,500 for MFS filing status)
Adoption Reimbursement Account cap = $16,810 per child

2023:
Health Care Reimbursement Account cap = $3,050 per participating employee
Dependent Care Reimbursement Account cap = $5,000 per tax return ($2,500 for MFS filing status)
Adoption Reimbursement Account cap = $15,950 per child

2022:
Health Care Reimbursement Account cap = $2,850 per participating employee
Dependent Care Reimbursement Account cap = $5,000 per tax return ($2,500 for MFS filing status)
Adoption Reimbursement Account cap = $14,890 per child