Participants » FAQs


Frequently Asked Flexible Spending Account (FSA) Questions

What is a Flexible Spending Account (FSA)?

An FSA allows you to use pre-tax dollars to pay for qualifying health care and dependent care expenses. Participating in an FSA increases your take home pay, as your taxable income is reduced by your pre-tax deductions and you are not taxed on your reimbursement.


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How Does an FSA Work?

The annual amount you elect to contribute will be divided by the number of pay periods remaining in the year. Every pay period, your Employer will deduct these equal amounts from your payroll check on a pre-tax basis before, Federal, State (varies by State), and Social Security taxes are withheld from your salary. The money is held in your corresponding "Flexible Spending Account" until you submit receipts for eligible expenses; your reimbursement is non-taxable.


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How Do I Enroll?

Each year prior to the beginning of the plan year, your Employer will have a specified Open Enrollment Period. You will need to complete the Enrollment Form and submit it to your Employer during this period of time since enrollment is required annually. FSA elections do not carry forward from year to year. If you or your spouse is enrolled in an HSA program you are not eligible to participate in the health care reimbursement portion of the Flexible Spending Account.


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Once I Enroll, Can I Change My Election?

Unless you have a qualifying Change of Status during the year, you cannot make changes, such as increasing or decreasing your level of contributions. To review a comprehensive list of changes please review the Change in Status Matrix.


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What Are Considered Qualifying FSA Expenses?

A Flexible Spending Account allows you to receive reimbursements for medical expenses that are NOT reimbursed by insurance. Qualifying out-of-pocket medical, dental and vision expenses, as well as dependent care expenses are eligible. Listed below are some examples to help you estimate how much you might qualify for this year. Please also review the Expenses List for a more comprehensive list.

 

QUALIFYING MEDICAL EXPENSES*
QUALIFYING DEPENDENT CARE EXPENSES*
  • Chiropractic Care
  • Co-payments
  • Contact Lenses/Solutions
  • Deductibles
  • Dental Treatment
  • Doctor Visits
  • Eye Exams
  • Glasses
  • Hearing Aids/Batteries
  • Hospital Services
  • Laser Eye Surgery
  • Mental Health Care
  • Orthodontics
  • Over-the-Counter Health Products
  • Prescribed Over-the-Counter Medicines
  • Prescription Drugs
*Cosmetic procedures such as teeth bleaching or face lifts are not qualifying expenses.
*Expenses that are reimbursed under your health care, dental or vision coverage are not qualifying expenses.
Your dependents must be -
  • A child under age 13 and living with you.
  • A child, spouse, or other dependent who is physically or mentally incapable of caring for himself/herself AND spends at least 8 hours a day in your household.
You (if single) or you and your spouse (if married) must be -
  • Gainfully employed (working or looking for work)
Your expenses can include-
  • Day care center expenses
  • Nursery/preschool expenses
  • Before/after school care
  • Babysitting expenses (provided the babysitter is not a relative under age 19 or a tax dependent of you or your spouse)

*A dependent care credit is available on your annual Federal Income tax return. Whether you choose to participate in the Dependent Care reimbursement account or use the tax credit depends on your income, filing status, number of dependents, and annual daycare expenses. The final decision should be made after consulting with your tax advisor.

 


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Are All Kinds of Over-the-Counter (OTC) Medicines Reimbursable?

Over-the-Counter medicines and drugs cannot be reimbursed without a doctor's prescription. Over-the-Counter health products do not require a prescription.  Please review the list by clicking on the this link.

 


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How Do I Submit a Claim?

You will need to complete a "Claim Form" and attach itemized bills as documentation. For detailed information on specific documentation needed, please review "How to Submit an FSA Claim."


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How and When Do I Get My Reimbursements?

Upon submission of a claim to Human Resource Administrators, Inc. a check will be mailed to your home unless you choose to have the reimbursement go directly into your checking or saving account. To authorize direct deposit, please complete the "Stop Running to the Bank". All Claims received by Friday (5:00 p.m. EST) will be processed by the following Friday.


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Can I View My Account Information On-line?

Yes. You can view your account information by clicking the myRSC link. You will need to know your Social Security Number and customized Employer Code in order to establish a personal Login ID. Please contact Human Resource Administrators, Inc. or your Employer for your Employer's Code.


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What If I Terminate During The Plan Year?

Upon termination with your employer, you may submit claims with a date of service incurred prior to your end of coverage for a specified duration of time as stated in your Summary Plan Description.


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What Is The Grace Period?

The Grace Period is the 2.5 months following the end of the plan year in which qualifying expenses can be incurred and applied to your prior year's positive account balance. Not all Employers have included this feature in the FSA plan, so please consult your Summary Plan Description to see if the Grace Period applies to you.


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Is There a Deadline for filing a Claim?

Yes. Each Employer has a different deadline. Please consult your Summary Plan Description to determine the claim filing deadline.


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What If I Don’t Use All The Money In My Account?

It is important to accurately determine your qualifying expenses for the year. After the Run-Out Period of a plan year, any amounts not used to provide benefits will be forfeited and may not be paid to you in cash.


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Frequently Asked Health Reimbursement Arrangement (HRA) Questions

What is a Health Reimbursement Arrangement (HRA)?

An HRA is an Employer funded benefit which allows for reimbursement of various types of medical expenses. Most HRAs are paired with or linked to an Employer's specific Group Health Plan. However, some HRAs are stand alone and are not associated with any other type of health plan. These are called non-linked. For purposes of this Q & A, we will be discussing only linked HRAs.


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How Do I Enroll?

Once you enroll in your Employer's Group Health Plan with a linked HRA, you will automatically be enrolled in the HRA.


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What Type of Medical Expenses Does An HRA Reimburse?

Each Employer decides what can be reimbursed under the HRA. Typical qualifying expenses may include in-network deductible expenses and co-insurance. Please review your Summary Plan Description or "How To Submit" for qualifying expenses under your Employer's HRA.


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How Do I Submit A Claim?

You will need to complete the Medical Care Expense Claims portion of the Claim Form. In addition, you will need to attach a copy of Explanation of Benefits (EOB) to support each expense. The EOB must be from your Employer's Sponsored Health Plan and provide the following information:

  • Participant's Name
  • Patient's Name
  • Date of Service - Must occur during the plan year. 
  • Name of Service Provider 
  • Total Charge

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What Is An Explanation of Benefits (EOB)?

After every medical service, the bill is forwarded to your insurance carrier for processing. The Explanation of Benefits (EOB) is the statement that reflects the cost of the service and how the expense was processed by the carrier.


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How Can I Obtain and EOB?

Most insurance carriers send them in the mail. In addition, carriers also will allow you to setup a personal login in order to view them on-line. There is a Customer Service number on the back of your insurance card which you can call and request EOBs.


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How and When Do I Get My Reimbursements?

Upon submission of a claim to Human Resource Administrators, Inc. a check will be mailed to your home unless you choose to have the reimbursement go directly into your checking or saving account. To authorize direct deposit, please complete the "Stop Running to the Bank". All Claims received by Friday (5:00 p.m. EST) will be processed by the following Friday.


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If I Have An HRA and An FSA, Can I Choose Which Benefit I Want To Submit My Claim To?

No. The coordination of the benefit order has been set forth in the Summary Plan Description. For the most part, if expenses qualify under both plans, normally the HRA will pay first until all of the funds are exhausted then the medical FSA will pay. Please consult your Summary Plan Description for particulars.


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Can I View My Account Information On-line?

Yes. You can view your account information by clicking the myRSC link. You will need to know your Social Security Number and customized Employer Code in order to establish a personal Login ID. Please contact Human Resource Administrators, Inc. or your Employer for your Employer's Code.

 


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What If My Coverage Terminates or I Terminate Employment?

Your normal participation will cease on the same day your Employer's Group Health coverage ceases. However, you and your covered family members may have the opportunity to continue to be covered under the Plan through COBRA. Also, you have 90 days after the termination of health insurance coverage to submit a claim for qualifying expenses incurred while you were covered by the health insurance plan.


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Frequently Asked mySourceCard (Debit Card) Questions

How Do I Obtain The mySourceCard?

You need to be enrolled in the benefit which allows for use of the mySourceCard. After you have finished the enrollment process, complete the application mySourceCard Enrollment Agreement. Upon completion, mail or fax the form directly to Human Resource Administrators, Inc. (HRA, Inc.) Your mySourceCard along with a Cardholder Agreement will be mailed directly to your home from Datapath Card Services/Benefit Bank. Retain the mySourceCard at the end of the year. Each year your new benefit amount will be loaded onto the card.


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Is There a Cost For Having A mySourceCard?

There may be a nominal annual administrative fee and a separate charge for additional card(s). Please contact your HRA, Inc. representative for more information.

 


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Do I Need a PIN Number?

No. The mySourceCard is a signature based debit card - NOT a credit card. However, when a PIN # is requested it should be swiped as a credit card.


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Is the mySourceCard Limited To Specific Providers?

Use of the card for qualifying expenses is limited to merchants who are health care providers (doctors, pharmacies, etc.). As set forth in the Cardholder Agreement, you will not be able to use the card at a regular retail store - e.g., a supermarket, grocery store, or discount store with a pharmacy unless the store has enabled the Information Inventory Approval System (IIAS) or other such inventory management systems. Pharmacies also need to have and inventory management system in place or be registered as a 90% Rule Merchant. Please review the comprehensive list of IIAS Merchants and 90% Rule Merchants. In addition, use of the card for other Plan expenses may be limited to merchants of qualified classifications. The card can not be used at all MasterCard® acceptance locations.


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How Can I Tell How Much Money Is On the Card?

You can view your account information 24/7 on myRSC. First time users can use the mySourceCard to establish a personal Login ID. Once logged in, click on the "mySourceCard" tab and you can view the purse value on the card.


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Will I Need To Submit Any Receipts to HRA, Inc. When I Use the mySourceCard?

HRA, Inc. employs the most sophisticated software available in order to take full advantage of IRS substantiation requirements. In some instances, documentation may be requested to verify eligibility. Therefore, we recommend keeping all receipts. Please review the question, "How Do I Use the mySourceCard At the Provider Or Pharmacy?" for more information.

 


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How Do I Use the mySourceCard At the Provider or Pharmacy?

For Use With A Health Reimbursement Arrangement:

  • Deductible or Coinsurance Expense Medical Services*:
    *Please review your Employer's specific plan guidelines as to what is a qualifying expense.

After every medical service, the bill is forwarded to the insurance carrier for processing. You will then receive an Explanation of Benefits (EOB) in the mail showing the cost of the service and the amount that went toward your deductible or co-insurance. At that point, you may use your mySourceCard to pay for the qualifying expense and mail or fax a "mySourceCard(Debit Card) Substantiation Form" along with the EOB to HRA, Inc.

  • Prescriptions

*Please review your Employer's specific plan guidelines as to what is a qualifying expense.

Prescription expenses are promptly processed by the insurance carrier. If prescriptions are being applied to the deductible, you may use your debit card at the pharmacy when picking up your prescription. The debit card cannot be used for prescriptions after the deductible has been satisfied or prescription co-pays unless you are enrolled in your Employer's FSA.

For Use with A Flexible Spending Account

  • Your Employer's Health Plan Copays:

You may swipe the mySourceCard at the provider's office for copays associated with your Employer's group health plan. No further action is required. If you are covered only under your spouse's health insurance plan, you can still use the card, however, you will need to mail or fax in the provider's itemized bill along with a "mySourceCard (Debit Card) Substantiation Form" to HRA, Inc.

  • Over-the-Counter Medicines:

When going to a preferred (IIAS Merchant) vendor such as CVS, Rite-Aid and Target, you may swipe the mySourceCard as a form of payment. No further action is required.

  • Dental & Vision Providers:

When to use the mySourceCard as a form of payment:

  • If you are covered under your Employer's or Spouses group dental or vision plan: When services are rendered your provider will submit the charges to the insurance carrier. After the insurance carrier has responded with an Explanation of Benefits (EOB), the provider will invoice you with an itemized bill. Complete the itemized bill with your debit card account numbers using your available balance. Please mail or fax a mySourceCard (Debit Card) Substantiation Form along with the EOB or provider's billing statement to HRA, Inc. to substantiate the expense.
  • If you have no dental or vision coverage: You can swipe the mySourceCard at the dental or vision provider's office at the time of service. Mail or fax a "mySourceCard (Debit Card) Substantiation Form" along with the provider's billing statement to HRA, Inc. to be substantiated.

This form will be automatically e-mailed to you after you have swiped your card or you can obtain one by visiting.


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How Long Do I Have To Submit Substantiation Once I Swiped My Card?

The "mySourceCard (debit card) Substantiation Form" along with supporting documentation needs to be submitted within 45 day of the actual date of the swipe. If the documentation is not received, the swipe will be treated as a non-qualifying expense. It is your responsibility to repay non-qualified expenses out of your personal funds. Until the funds are repaid, the mySourceCard may be temporarily placed on hold. If you do not repay the Plan, an amount equal to the unsubstantiated expense will be offset against future eligible traditional paper claims under the Plan. If no claims are submitted prior to the date you terminate coverage in the Plan, or claims are submitted but they are not sufficient to cover the unsubstantiated expense amount, then the amount may be withheld from your pay (as specified in the Cardholder Agreement), or the remaining unpaid amount will be included in your gross income as taxable "wages".


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Can Use of the mySourceCard Ever Be Suspended?

Please review the previous question, "How Long Do I Have To Submit Substantiation Once I Swiped My Card?" In addition, you will not be able to use the mySourceCard when you terminate employment or coverage under the Plan (if still actively employed when coverage ceases). You may not use the card during any applicable COBRA continuation coverage period.


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What If My Card Is About to Expire?

You will automatically be issued a new mySourceCard as long as you are still enrolled in the benefit plan.


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Can I Choose My Method of Reimbursement?

You can use either the mySourceCard or the traditional paper claims approach. You have the choice as to how to submit your eligible claims. If you elect not to use the mySourceCard, you may also submit claims under the traditional paper claims approach. Please review How to Submit A HRA Claim and FSA Claim. Claims for which the mySourceCard has been used cannot be submitted as traditional paper claims.


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