Using a Flexible Spending Account (FSA) is a great way to stretch your benefit dollars. You use before-tax dollars in your FSA to reimburse yourself for eligible out-of-pocket medical and dependent care expenses. That means you can enjoy tax savings and increased take-home pay – all with the convenience of a prepaid benefits card. And that makes real sense.
What is an FSA? With an FSA, you elect to have your annual contribution (up to the annual limit set by the IRS) deducted from your paycheck each pay period, in equal installments throughout the year until you reach the yearly maximum you have specified. The amount of your pay that goes into an FSA will not count as taxable income, so you will have immediate tax savings. FSA dollars can be used during the plan year to pay for qualified expenses and services. Through our partner, Infinisource, we are able to offer Health Care FSAs, Dependent Care, and Limited Medical.
With all FSA account types, you’ll receive access to a secure, easy-touse web portal where you can track your account balance, view your investment accounts and submit requests for reimbursements. In addition, you’ll receive a convenient prepaid benefits card to make it easy to pay for eligible services and products not covered by your health insurance. When you use the card, payments are automatically withdrawn from your account, so there are no out-of-pocket costs and you won’t have to submit receipts to verify the purchase. Just swipe the card and go. It’s that easy!
Although the COBRA law is over 25 years old, its administration and compliance isn’t any easier today than when it was new. In fact, employee benefits are becoming more complicated and challenging every year. As an employer, you must maintain documentation, update required notices, track dates and keep up with legislative and regulatory changes to stay in compliance.
COBRA administration is a commonly outsourced HR function. Organizations without a dedicated HR professional (and even those with one) find that given the myriad of forms, complex rules and legal pitfalls, COBRA compliance can be a difficult and perhaps costly challenge.
Our partner, Infinisource, is a COBRA expert – with over 17,000 employers using their services nationwide, and over 25 years of experience. By opting into our COBRA service, you reduce risk, simplify your process, and make COBRA compliance trouble free. When you opt for our comprehensive payroll/HR service, you can choose to opt into our COBRA service, provided through our partner, Infinisource.
The best part is that COBRA is fully integrated with iSolved! When you add a new hire, terminate or make a benefit change through iSolved, that information automatically flows through to our COBRA service – no more visiting a third party website to key in changes!
The consequences of non-compliance with COBRA can be significant. Employers who outsource COBRA administration through The Payroll Company & iSolved can instead dedicate their time to more strategic HR functions and business objectives. Contact us today and find out how COBRA administration can be an effective and low-cost solution for your business.