Flexible Spending Accounts (FSAs) Highlights

BNY Mellon Benefits Guide

BNY Mellon offers three FSAs: Health Care, Limited Purpose Health Care and Dependent Care.

Your 2018 health plan election determines whether you are eligible to enroll in the Health Care FSA or the Limited Purpose Health Care FSA.

Your health plan election does not affect your participation in a Dependent Care FSA.

For more information on the FSAs, including eligibility, contributions, tax benefits and other provisions, see the Flexible Spending Accounts section. To see how the Health Care and Limited Purpose FSAs compare with the Health Savings Account under Plan HSA, review "How the Health Accounts Compare" in the Medical and Prescription Drug section.

Over-the-counter (OTC) drugs are not eligible for reimbursement from a Health Care or Limited Purpose Health Care FSA. Non-drug OTC purchases, such as bandages, are eligible for reimbursement, as well as insulin and any OTC drug for which you have a doctor's prescription.

The maximum you can contribute annually to a Health Care FSA or Limited Purpose Health Care FSA is $2,600.

If you have a balance remaining in your Health Care FSA or Limited Purpose Health Care FSA at year-end 2017, up to $500 will be carried over for your use in 2018. (Any unused amounts over $500 are subject to the IRS "use it or lose it" forfeiture rule unless submitted for reimbursement on or before June 30, 2018. Reimbursement from unused 2017 amounts over $500 is limited to expenses incurred in 2017.)

Any carryover from 2017 to 2018 will not affect your contribution for 2018. You can contribute up to the allowable annual election amount for 2018 ($2,600) plus use any carryover from 2017 (up to $500) for a total balance of up to $3,100 in 2018.

With the exception of the $500 Health Care/Limited Purpose Health Care FSA carry-over, eligible 2018 expenses must be incurred during the plan year (January 1, 2018, through December 31, 2018) and submitted for reimbursement by June 30, 2019.