[Wesleyan University]

Flexible Spending Accounts

       
Effective January 1, 2013, in compliance with the Health Reform, the annual MERA maximum contribution has been reduced to $2,500.

 DISCLAIMER

           
Flexible Spending Account Eligibility
  Administrative staff members, faculty members, stipend graduate students and professional librarians may participate if appointed for at least half time.
           
Dependent Care Reimbursement Account
  You can establish a dependent care reimbursement account by authorizing a reduction in your taxable salary by an amount up to $5000 a year. This amount is then used to pay eligible dependent care expenses. Because this amount goes into the account before income or Social Security taxes are withheld, you save money by paying less in taxes. To be eligible, expenses must satisfy all of the following:
           
  •  You must be gainfully employed;
     
  •  Expenses must be incurred for a child under age 13 whom you are entitled to claim as a dependent on your federal tax return, or for a dependent physically or mentally incapable of self care who regularly spends at least eight hours each day in your household. (Special rules apply to a child of separated or divorced parents. Please see plan description available from Human Resources.);
           
  •  Expenses must be for household services or for outside care of an eligible dependent. (Please note: if you use a dependent care center that provides regular care for at least seven people and receives a fee for such services, the center must comply with all applicable laws and regulations); and
           
  •  Expenses must be incurred between January 1 and December 31 of each year and claims for reimbursement must be submitted by the following April 15.
           
           
Medical Expenses Reimbursement Account (MERA)
   
Eligible Medical and Dental Expenses
  Any medical and dental expenses the Internal Revenue Service considers tax deductible are eligible for reimbursement from a MERA if the participant pays them and does not deduct them on a tax return and if they are not reimbursable under an insurance plan. Even if a family member is not covered by a Wesleyan medical or dental plan, his or her medical and dental expenses are eligible for reimbursement if they meet the above conditions. Examples of eligible expenses are:
           
 

•

  Deductibles and coinsurance not paid by a medical or dental plan;
     
  •  Vision care, including exams, prescription eyeglasses, and contact lenses;
     
  •  Hearing examinations and hearing aids;
     
  •  Weight-loss programs prescribed by a doctor for a specific ailment;
     
  •  Installation and operation of a non-permanent air conditioner to relieve an allergy or heart condition, if prescribed by a doctor;
           
  •  Vitamins and dietary supplements prescribed by a doctor;
           
  •  Doctor prescribed over the counter medications outlined by the IRS;
           
  •  Smoking cessation programs and related prescription drugs; and
           
  •  Other medical expenses that qualify as federal income tax deductions.
           
  Any determination of whether a claimed expense is eligible for reimbursement is subject to IRS review. IRS determinations govern the plan.