Take advantage of federal savings (HSA) and spending (FSA) plans to use tax-free money to pay for medical, dental, and vision expenses for you and your family members.
Health Savings Account (HSA) FAQs
An HSA is a pre-tax health savings account used to pay for qualified health (medical, dental and vision) expenses. In 2020, employees must make HSA contributions through payroll deduction to their Optum Bank account to receive city HSA funds. For every $1 an employee contributes to their HSA, the city will contribute $2, up to the following amounts:
|City HSA Match
||Maximum City HSA Contribution
||Required Employee HSA Contribution for FUll City Match
||$12.50 per paycheck
(up to $300 in 2020)
|$6.25 per paycheck
(at least $150 in 2020)
||$37.50 per paycheck
(up to $900 in 2020)
|$18.75 per paycheck
(at least $450 in 2020)
Additionally, in 2020, employees who completed the wellness incentive by November 30, 2019, also received $600 deposited in their HSA.
Q: Can any city employee sign up for a health savings account (HSA)?
A: No, not everyone is eligible for an HSA. To qualify, employees must be enrolled in a high-deductible health plan (HDHP). Also, enrollment in a government health program (i.e. Medicare or Tricare) will disqualify you for an HSA.
Q: Is HSA money use or lose each calendar year?
A: No, any unused HSA funds in a year will carryover and be available for use on qualified health expenses in the following year.
Q: Am I required to contribute to my HSA?
A: No, but you can choose to contribute to your HSA at any time. Stopping, increasing or decreasing your HSA contributions is also allowed once a month by completing an HSA Benefit Change action in Workday. Remember, you must contribute to your HSA through payroll deduction to receive the city contribution.
Q: Is there a limit to how much I may contribute to my HSA?
A: Yes, employees with single HDHP coverage may contribute up to $2,650* (after the $300 city contribution and $600 wellness incentive) and employees with family HDHP coverage may contribute up to $5,600* (after the $900 city contribution and $600 wellness incentive).
*Employees age 55+ may contribute an additional $1,000
Q: How do I set up an HSA?
A: The city is partnering with Optum Bank to administer the HSA. Employees can open an account, by clicking on the links below:
Q: Once I have contributed money into my HSA, what is considered a qualified medical expense?
A: Employees should review this HSA Qualified Medical Expenses list for examples.
Q: How do I prove to Optum Bank that the charges on my account are qualified medical expense?
A: Employees should keep receipts for all purchases with their tax information in case the IRS asks for the employee to prove that the HSA monies were used to purchase qualified medical expenses. You do not need to prove to Optum Bank that the charges are considered a qualified medical expense.
Q: What type of fees does Optum Bank have?
A: Employees should become familiar with Optum Bank's schedule of fees.
Find contact information for Optum Bank in the Provider Contact Information below.
Flex Spending Account (FSA) FAQs
Q: When is my flexible spending account (FSA) money available?
A: The annual FSA money you pledge is available as soon as the FSA benefit begins (January 1 for open enrollment or first of the month following hire date).
Q: Is FSA money use or lose each calendar year?
A: Yes, you must use your FSA money before the plan year ends (March 15 of the following calendar year).
Q: What is the 24HourFlex Card?
A: The 24HourFlex Card is a debit card that can be used to access your FSA account to pay for eligible expenses. Read more...
Q: When I don't use my 24HourFlex Card, how do I get reimbursed for qualified expenses?
A: Employees can file an online claim at www.24hourflex.com (claims for the previous year must be filed by March 30 of the current year). To set up an account:
- Go to www.24hourflex.com.
- Click "Create your new username and password" under New User?
- Follow instructions for creating an account.
Q: Is direct deposit available for when I don't use my 24HourFlex Card?
A: Yes, complete the 24Hour Flex Direct Deposit Authorization Form and mail or fax the form to 24HourFlex.
Q: Where can I get more information about 24Hour Flex?
A: Review the 24Hour Flex Brochure, Plan Details, and visit their website at www.24hourflex.com.
Q: Once I have contributed money into my FSA, what is considered a qualified medical expense?
A: Employees should review this eligible expenses list for examples.
Find contact information for 24 Hour Flex in the Provider Contact Information below.