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Flexible Spending Accounts

Save Taxes With the Flexible Spending Accounts

Health Care and Dependent Care Flexible Spending Accounts (FSAs) can save you money by allowing you to set aside tax-free dollars to pay for eligible health care and dependent care expenses.

Each year, when you re-enroll in an FSA, you choose the amount of your annual contribution. These contributions are deducted from your pay before federal income and Social Security taxes, so you save on federal taxes.

Health Care FSA

You can contribute from $240 to $2,750 to the Health Care FSA.

The type of Health Care FSA you can use depends on the medical plan you choose:

  • If you are in the HRA Medical Plan or Co-Pay Medical Plan, you can enroll in the “traditional” Health Care FSA.
  • If you are in the HSA Medical Plan, you can enroll in the “limited purpose” Health Care FSA.

Traditional Health Care FSA (For HRA Medical & Co-Pay Plan Participants)

The traditional Health Care FSA provides you with a tax-free way to pay for eligible health care expenses — such as deductibles, coinsurance, eyeglasses and orthodontia — that are not reimbursed or covered by another plan. This account can be used for eligible expenses for you and your qualified dependents whom you declare on your tax return. You can enroll in the traditional Health Care FSA when you enroll in the HRA Plan or the Co-Pay Plan.

NV Energy offers Streamline Reimbursement for traditional Health Care FSA expenses. Streamline Reimbursement is automatic, but it can be turned off at your request. To discontinue the Streamline Reimbursement feature or set up automatic deposit, contact Aetna FSA Member Services at 800-416-7053 or go to aetna.com.

Here’s how Streamline Reimbursement works:

If you visit an Aetna in-network provider, your claim is automatically submitted and processed under the medical benefits.
The expenses are first paid from any funds in your HRA.
Once your HRA is exhausted, any remaining out-of-pocket costs are then streamlined to the FSA account and reimbursed directly to you by check, or you can establish FSA automatic deposit directly into your own checking account.

Remember, the plan reimburses you from the HRA first. Be sure to keep this in mind when you’re electing contribution amounts for your Health Care FSA, so you won’t lose what’s left over in your FSA at the end of the year.

Limited Purpose Health Care FSA (For HSA Medical Plan Participants)

IRS regulations state if you enroll in the HSA Medical Plan, you cannot contribute to the traditional Health Care FSA. However, the limited purpose Health Care FSA is available as a complement to your Health Savings Account.

  • The limited purpose Health Care FSA can be used only for certain services including dental care, orthodontic care and vision care before you meet your HSA Medical Plan deductible.
  • After you meet the HSA Medical deductible, you can then use the limited purpose Health Care FSA for all eligible medical expenses, such as coinsurance for prescriptions and doctor fees.

Consider your potential dental and vision expenses for 2022. If you think you’ll have a lot, you could save taxes by using both an HSA and the limited purpose Health Care FSA.

Don’t forget you must use all of the money you contribute to your Health Care FSA each year. What you don’t use, you lose. But the money left in your HSA rolls over — what you don’t use, you keep!

Dependent Care FSA (Day Care)

  • NV Energy provides a Dependent Care FSA to help you save taxes on the money you pay for dependent day care expenses required for you (and your spouse) to work or to attend school full time.
  • Each year, you can contribute from $240 to $5,000 to the Dependent Care FSA, depending on your tax filing status. You forfeit any unused money left in your account at the end of the year.
  • You have a grace period until March 15, 2023 to incur day care expenses and March 30, 2023 to submit your expenses. You cannot withdraw the unused balance, and you cannot carry money over to the following year.