The State of Ohio Flexible Spending Accounts (or FSAs) are voluntary accounts, which allow program participants to pay for eligible expenses on a pre-tax basis. Participants save on federal, state, some local taxes, and medicare taxes. The State of Ohio offers two types of FSAs, a healthcare spending account for eligible health care expenses and a dependent care spending account for eligible dependent care expenses. Program Enrollment does not roll over into subsequent plan years so participants must re-enroll to participate in each new plan year.
Click the links below to access the information you need quickly.
Healthcare Spending Account
Dependent Care Spending Account
Enrollment Eligibility
IRS Forfeiture Rule
Worksheets
FSA Enrollment Form
Fax Tips
Claim Rejection Reasons
FSA Debit Card
Direct Deposit
Special Notice
Appeals Process
FSA Resources
Contacts
Health Care Spending Account
The health care spending account (HCSA) is a tax favored account, which provides the opportunity for eligible employees to defer on a pre-tax basis up to a maximum of $3,000 into an account to pay for eligible expenses not paid by their health care plan, vision or dental plan. There is no administrative fee for participants. The myFBMC CardSM, which facilitates payment of eligible healthcare expenses, is issued to all participating employees. Information regarding eligible expenses may be found in the FSA Reference Guide. For more detailed information about the HCSA or the debit card please visit www.myfbmc.com the web site for State of Ohio’s program vendor, Fringe Benefits Management Company.
Dependent Care Spending Account
The dependent care spending account (DCSA) is a tax favored account, which provides the opportunity for eligible employees to defer on a pre-tax basis up to a maximum of $5,000 (dependent on tax status) into an account to pay for eligible child care, dependent care, and eldercare expenses. For more detailed information about the DCSA please visit www.myfbmc.com the web site for State of Ohio’s program vendor, Fringe Benefits Management Company.
Enrollment Eligibility
Health Care Spending Account (HCSA)
Employee must be a permanent part time or permanent full time employee with sufficient pay to cover the election amount.
- May enroll within 60 days of the hire date, if no probationary period.
- May enroll within 60 days of completing probation, if there is a probationary period.
- It is not necessary that the employee be enrolled in the State of Ohio’s Health Benefits in order to participate in the HCSA.
- If both a husband and wife are State employees, both may participate in the HCSA as separate individuals.
Dependent Care Spending Account (DCSA)
Employee may enroll within 60 days of the hire date if:
- Employee is a permanent part time or permanent full time employee with sufficient pay to cover the election amount.
- Employee has a qualifying dependent(s).
If an employee does not enroll within the timeframes noted above, other opportunities to enroll are as follows:
- During annual open enrollment period.
- Upon experiencing an IRS qualifying status change; According to the IRS regulations governing Section 125 Cafeteria Plans a change can be made to the employee’s pre-tax salary reduction election. However, the proposed change must be consistent with the type of change experienced. Contributions and benefit changes must an appropriate result of the Changes in Status. The timeframe for notification is within sixty (60) days of the qualifying event.
Under the IRS Code, qualifying events include:
- marriage or divorce
- spouse or dependent's death
- dependent's birth or adoption
- spouse begins or ends employment
- spouse or employee change from full-time to part-time employment or vice versa; spouse or employee takes an unpaid leave of absence
- either spouse or employee have a significant change in health coverage resulting from spouse's employment
IRS Forfeiture Rule
"Federal regulations require that any unspent balance at the end of the calendar year, or at the end of the month of your employment termination, will be forfeited. To avoid possible forfeiture at the end of the year, please use the worksheets below to calculate the appropriate FCSA and/or DCSA amounts."
Worksheets
Health Care Spending Account (HCSA) Worksheet
Dependent Care Spending Account (DCSA) Worksheet
Flexible Spending Account (FSA) Enrollment Form
Flexible Spending Account Enrollment Form 2010
Flexible Spending Account Enrollment Form 2009
Claims Fax Tips
In order to prevent the need to re-submit / re-fax a FSA claim
- Assure that any documents faxed are properly positioned face up/down based on your faxing equipment's requirements. This will assure that blank pages are not received by FBMC.
- Assure that the ink on the documents faxed is dark enough for fax to be received clearly.
- Assure that the item(s) on your faxed document are not highlighted. Highlights will make items on your faxed document illegible, once received.
- Receipts on colored paper or glossy (thermal paper) may not be legible, once received.
Claim Rejection Reasons
Top reasons that Claims are rejected or additional information is requested by the Fringe Benefit Management Company (FBMC) are:
- Claim is submitted without a description or code for the type of service
- Claim is submitted without the date of service
- Claim is submitted without supportive documentation for expenses
- Claim form is submitted unsigned
How Does the FSA Debit Card Work?
Your myFBMC CardSM visa works just like a credit card. There is no annual fee. All that is needed is to swipe your card at a participating provider to purchase eligible items from your health care spending account. The card does not use a PIN so there is no need to remember yet another four-digit code. It’s versatile. The debit card enables health care spending account participants to access their account benefits more quickly to pay eligible expenses. The card can be used at retail pharmacies, such as Target, Wal-Mart, Sam’s Club and Walgreens. To view the entire Store List IIAS Store List for a constantly updated list of retailers and providers accepting the card.
Keep your receipts! You may need to provide receipt documentation on occasion. For example, documentation may be required for purchases that are made for office (doctor, dentist, vision provider) visit fees, copayments, co insurance, deductibles and at some retailers i.e. non IIAS certified pharmacies. See the Special Drug Store Notice below.
The IRS requires debit card suspension, when substantiating documentation is not provided for expenses requiring such. A grace period of 60 days is provided to allow debit card users reasonable time to submit the required documentation. When your monthly FBMC statement and/or an online account message requests substantiating documentation, provide that your documentation is received by FBMC within the 60 day grace period.
If you do not submit documentation to FBMC within 60 days, your myFBMC CardSM payment card may be deactivated, as required by IRS guidelines. Submit a completed FSA claim form to avoid deactivation of your card.
You may contact FBMC at 1.800.342.8017, should you have questions or need assistance in determining whether your provider is IIAS-Certified. Customer Care Center representatives are available Monday through Friday, 7 am to 10pm EST.
A payment card is not yet available with the dependent care spending account.
Direct Deposit
You may want to enroll in direct deposit to expedite the time of your reimbursement.
FSA reimbursement funds are automatically deposited into your checking or savings account within 48 hours of your claim approval.
There is no fee for this service.
You do not have to wait for postal service delivery of your reimbursement. However, you will receive notification via mail that the claim has been processed.
To apply, complete the Direct Deposit Enrollment Form or call FBMC Customer Care Center at 1-800-342-8017 for assistance. Please note that processing your direct deposit enrollment may take four to six weeks.
Special Drug Store Notice
A special accommodation was made by the IRS to allow eligible health care spending account (HCSA) purchases at "non IIAS" certified drug stores to be auto adjudicated by using HCSA debit cards until 12/31/08. The IRS later extended the date by which drug stores must comply to 6/30/09. IIAS auto adjudication for drug stores, which "have not" become IIAS certified stopped on 6/30/2009, as per IRS regulations. Effective July 1, 2009, purchases at a drug store which previously allowed auto adjudication may require substantiating documentation, if the drug store has become a Merchant Registered under IRS 90% Rule. These merchants can be found here. Click here to view the Other Merchants who can accept the card for Rx and OTC.
If the provider is not on neither the IIAS list nor the Merchant Registered under IRS 90% Rule, then a FSA debit card will not work at that provider. You may ask the pharmacy to apply for certification.
Employees may contact FBMC at 1.800.342.8017 for information regarding pharmacy IIAS certification.
Appeal Process
If you have a request for a mid-plan year election change, FSA reimbursement claim or other similar request denied, in full or in part, you have the right to appeal the decision by sending a written request within 60 days of the denial for review to:
FBMC
Attn: Appeals Process
P. O. Box 1878
Tallahassee, FL 32302-1878.
Your appeal must include:
- the name of your employer
- the date of the services for which your request was denied
- a copy of the denied request
- the denial letter you received
- why you think your request should not have been denied and
- any additional documents, information or comments you think may have a bearing on your appeal.
Your appeal and supporting documentation will be reviewed upon receipt. You will be notified of the results of this review within 30 business days from receipt of your appeal. In unusual cases, such as when appeals require additional documentation, the review may take longer than 30 business days. If your appeal is approved, additional processing time is required to modify your benefit elections.
Note: Appeals are approved only if the extenuating circumstances and supporting documentation are within your employer's, insurance provider's and the IRS’ regulations governing the plan.
FSA Resources
2010 Reference Guide
2009 Reference Guide
Contacts
For questions about flexible spending accounts, contact FBMC Customer Care Center at 1-800-342-8017. Customer Care Center Representatives are available 7a.m. – 10p.m. EST Monday through Friday.