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Flexible Spending Accounts
Flexible Spending Accounts
  
P&A Group Flexible Spending Account Brochure
Benefits Card Info
Mobile Features Info

Forms:
Medical Reimbursement Account(MRA)
The City offers its employees a Medical Reimbursement Account (MRA) in accordance with IRS Sections 125/129.  Normally, out-of-pocket healthcare expenses are paid with money that has already been taxed.  However, using the MRA program, out-of-pocket expenses can be reimbursed from a trust account funded with pre-tax deductions from the employee’s paycheck.  This reduces taxable income so City employees will pay less in taxes and have more money to spend and save.

Dependent Care Assistance Plan(DCAP)
Dependent Care Assistance Plan Info
The City offers its employees a Dependent Care Assistance Program (DCAP) in accordance with IRS Sections 125/129.  Normally, dependent care is paid for with money that has already been taxed.  However, using the DCAP program, out-of-pocket expenses can be reimbursed from a trust account funded with pre-tax deductions from the employee’s paycheck. This reduces taxable income so City employees will pay less in taxes and have more money to spend and save.

Important Note Regarding Flexible Spending Account Debit Cards:
P&A Group only issues FSA debit cards once during the initial enrollment. They do not re-issue debit cards every year when employees re-enroll. If you have lost your debit card and need a replacement card issued, you must call P&A Group at (800) 688-2611

Eligibility
All Full and Part-time benefited employees are eligible to participate in these programs.
Please Note: Employees must re-enroll in FSA every year during open enrollment. Contributions do not rollover automatically.  

Due to IRS regulations, employees enrolling in an FSA who earn $120,000 or more may be limited in their election amount.  The election amount limit will be determined by testing during the plan year. If your election is over the limit, the City will reduce your contribution amount for the plan to pass IRS testing. 


Cost
There is a $3.75 monthly administrative fee for participating in one or both of the City’s Flexible Spending Accounts which is paid for by participants. Flexible Spending Account Fee Sheet


Pre-Tax Commuter Benefit Program
The City provided Eco Pass allows benefited employees to use VTA transit services (Light Rail, Buses and Express Buses) free of charge.  Having a Commuter Benefit offers an opportunity for eligible employees to pay for non-VTA transit expenses with pre-tax dollars.  Both the Eco Pass and the Pre-Tax Commuter Benefit support the City’s commitment to expand opportunities for employees to travel by means other than driving. 

                Commuter Benefit Introductory Packet
                Commuter Benefit FAQ
                Commuter Benefit Enrollment/Change Form
                Commuter Benefit Claim Instructions
                Commuter Benefit Direct Deposit

Qualifying Expenses
Qualifying expenses for transit services include subways, buses, ferries, commuter rail, and vanpools.  Locally, this includes BART, Caltrain, Highway 17 Express Buses, ACE trains, and Vanpools.  Expenses that are not eligible include parking, carpools, tolls, gas, and other driving related expenses.

Eligibility
Eligible employees are full-time and part-time benefited City employees classified at 20 hours per week or more.  Part-time unbenefited and Airport employees are not eligible to participate.

How to Enroll
Complete and submit the Pre-Tax Commuter Benefit Enrollment/Change Form which is available above.  Employees can enroll in or cancel your commuter benefit election each month.  Elections or cancellation of elections will be effective the first semi-monthly payday of the next month as long as the Enrollment/Change Form is received and processed by Human Resources before payroll’s cutoff date.

Elections
Eligible employees can elect up to a maximum of $190.84 per month withheld from their paychecks pre-tax ($95.42 semimonthly; deducted on the first two paydays of each month).

For 2017, federal tax rules allow up to $255 per month in pre-tax transportation benefits.  The market value of the City provided Eco Pass of $64.16 per month is allocated towards the limit of $255 per month.  Therefore, the maximum employees may contribute for 2016 towards the Pre-Tax Commuter Benefit is $190.84 per month.

Changing Elections
Employees may change the amount of their commuter benefit election each month.  Changes will be effective the first semi-monthly payday of the next month as long as the Enrollment/Change Form is received and processed by Human Resources before payroll’s cutoff date.

Contact
For more information about Flexible Spending Accounts or Commuter Benefits, contact Human Resources - Employee Benefits at .