Pre-Tax Accounts
Many employers offer pre-tax benefit accounts as an important fringe benefit for their employees. Some pre-tax accounts are funded by employers, such as Health Reimbursement Arrangements (HRAs). Most are funded by employees using pre-tax dollars, such as Flexible Spending Accounts (FSAs), Health Savings Accounts (HSAs), and Commuter Benefit Plans (CBPs). The tax advantages to these types of accounts make them an attractive option for employees.
Enrollment in any of these benefits often comes with the use of a debit card that allows the participant to access funds as needed. It is important to remember that these funds must be used for qualified eligible expenses only, as documentation is often required to substantiate card transactions and claims for reimbursement.
The IRS governs what these types of accounts can be used for, and employers must remain in compliance with these regulations if they are to offer these benefits. There are also limits to the amount that can be contributed pre-tax to these accounts. The IRS determines these limits, which are usually increased slightly every year to keep up with inflation and cost of living.
Pre-tax benefit accounts that Schulman Insurance can implement for your employees include:
Flexible Spending Account
Health Savings Account
Health Reimbursement Arrangement
Commuter Benefit Plans - parking & transit
Dependent Care FSA
Limited Purpose FSA
Individual Coverage Health Reimbursement Arrangement (ICHRA)
Tuition Reimbursement
And more!
Pre-tax Vendors we work with
