The Coronavirus Aid, Relief, and Economic Security (CARES) Act, signed into law on March 27, 2020, contains important provisions that affect Flexible Spending Accounts (FSAs). Under the CARES Act, you can now use your Health Care FSA to receive reimbursement for:

• Over-the-counter drugs and medicines without a doctor’s prescription. This includes items such as Tylenol, aspirin, Zyrtec, etc. At this time, vitamins and supplements still require a letter of medical necessity.
• All Menstrual care products. This category is a brand new qualifying medical expense.

All expenses for over-the-counter drugs and menstrual care products purchased on or after January 1, 2020 qualify. At this time, this new provision has no expiration date.

A Flexible Spending Account (FSA) – also commonly referred to as an FSA, a Flex Plan or a Cafeteria Plan – is an employee benefit program that allows you to set aside money on a pre-tax basis for certain medical and childcare expenses.  With an FSA, you can reduce your taxes while paying for necessary services or expenses.

Using an FSA, employees and employers can shield thousands of dollars of expenses annually, resulting in substantial tax savings.  Amounts contributed to an FSA are NOT subject to federal and state income taxes or social security taxes.  Employees who participate in this program benefit by reducing their taxable income in order to increase their level of “take home” pay.

You save money by reducing your income taxes. The contributions you make to a flexible spending account are deducted from your pay BEFORE your Federal, State, and Social Security Taxes are calculated and are not reported to the IRS as income.

No taxes on withdrawals.

Designate the amount set aside from each paycheck, subject to IRS maximums.

• Incur Expenses - Receive eligible health and/or dependent care products or services. Expenses are considered incurred when the service is rendered, not when you are billed, charged or pay for these services.
• Submit Claims - Send reimbursement requests for eligible health and/or dependent care expenses to your plan administrator.
• Receive Reimbursement - Get reimbursed with TAX-FREE money from your spending account.

• Estimate Expenses - Estimate your health and/or dependent care expenses for the year by reviewing last year's costs and taking into consideration any family status changes that may impact your expense, such as marriage or the birth or adoption of a child.
• Determine Contributions - Decide how much of your salary to set aside to fund your expected health and/or dependent care expenses.  The total amount will automatically be deducted from your pay throughout the year.
• Elect to Participate – Sign up for a health and/or dependent care spending account during your employer's enrollment period.

Lynette Crawford
Director of Management Services
Genesee Valley BOCES
80 Munson Street
LeRoy, NY 14482
Email the Director
Phone: (585) 658 or 344-7564
Fax: (585) 658 or 344-7649

Jennifer Davis
Management Services Specialist
Genesee Valley BOCES
80 Munson Street
LeRoy, NY 14482
Email the Specialist
Phone: (585) 658 or 344-7616
Fax: (585) 658 or 344-7649