Flexible Spending Accounts (FSA) and Health Savings Accounts (HSA) can be overwhelming and confusing to many employees. Landmark helps employers establish and educate employees on the benefits, requirements, and overall workings of FSA and HSA accounts.
FSAs give the employee the ability to set aside their own money on a pre-tax basis for many out of pocket costs. Employees have access to 100% of annual contribution throughout the plan year but will lose 100% of unused funds. The IRS has recently added a large number of eligible expenses to the approved list.
HSAs give the employee and/or employer the ability to set aside pretax money for out of pocket expenses. Employees have access to 100% of deposited contributions throughout the plan year and can carry over 100% of unused funds for future qualified expenses or for retirement. Coupled with a high deductible health plan (HDHP), an HSA is a valuable employee benefit.