This plan allows the employee to pay for payroll deducted health insurance premiums with "before tax" dollars. Accomplished by deducting the premiums before taxes are calculated, this plan reduces the amount of Federal, State, and Social Security withholding. Strict IRS guidelines apply. Participation in pre-tax is mandatory if enrolled in the health benefits plan.
Medical Care Reimbursement Account
This pre-tax deduction is designed for use in paying eligible medical, dental, and vision expenses which are not covered by health insurance. The reimbursements received are not subject to Federal, State, and Social Security taxes. The initial election period is within 30 days following the date of eligible employment. If you do not enroll within this period, you must wait until the next Open Enrollment or until you experience an event that permits a mid-year election change under your plan. Due to the tax advantages offered by this program, the IRS has strict guidelines for its use. Participation is optional. More information from the DHRM.
Medical FRA participants receive Anthem’s Elite VISA Benefit Card when they enroll in a medical reimbursement account. You should keep your card to use each plan year until the expiration date. The Card is a convenient reimbursement option that allows Anthem to electronically reimburse eligible expenses under IRS guidelines. Simply swipe the Card like you would with any other credit card. The amount of your eligible expenses will be automatically deducted from your Medical FRA. For prescription drug and over-the-counter medicine purchases, the Card will only be accepted at IIAS certified merchants. To find out if a pharmacy or drugstore near you accepts the card, please refer to the IIAS Store List at http://www.sigis.com/.
Dependent Care Reimbursement Account
This pre-tax deduction is for use in paying eligible dependent care expenses. The reimbursements are not subject to Federal, State, and Social Security taxes. An employee is eligible to participate as of the first day of the month following the date of hire. Due to the tax advantages offered by this program, the IRS has strict guidelines for its use. Participation is optional. More information from the DHRM.