SPENDING ACCOUNTS
The Chefs' Warehouse provides the opportunity to participate in several spending accounts such as a Health Savings Account (HSA), Healthcare Flexible Spending Account (FSA), Dependent Care FSA, and Commuter FSA. Because the funds are pre-tax, every dollar you contribute earns you more in tax savings!
IMPORTANT: Please note you will be required to make your Flexible Spending Account elections in a separate enrollment, as these benefits run on a calendar year basis and will become effective January 1, 2025. All other benefit elections selected will become effective on October 1, 2024.
HEALTH SAVINGS ACCOUNT (HSA)
- An HSA is a personal bank account that is yours to keep.
- It’s portable. Even if you change jobs, you get to keep your HSA.
- You can use your HSA to pay for qualified medical expenses.
- Tax-deductible - Contributions to the HSA are 100% deductible (up to the legal limit) — just like an IRA.
- Tax-free - Withdrawals to pay qualified medical expenses, including dental and vision, are never taxed.
- Tax-deferred - Interest earnings accumulate tax-deferred, and if used to pay qualified medical expenses, are tax-free.
- It allows for an improved retirement account. Funds roll over at the end of each year and accumulate tax-free, as does the interest on the account.
- Once you reach the age of 55, you are allowed to make additional “catch-up” contributions up to $1,000 to your HSA until age 65.
Reminder: You must be enrolled in the HDHP to be eligible to participate in a Health Savings Account! Employer HSA contributions may be prorated based on the number of months you contribute.
Note: if you are enrolled in Medicare, you are not eligible to contribute to an HSA. Making contributions while ineligible can result in tax penalties. If you are approaching (or are older than) age 65, you should make time to discuss your HSA contribution strategy with a tax advisor.
Please note, if you participate in an HSA, you are required to elect the HSA in Ceridian Dayforce with an election amount of $0 in order to receive the employer contribution.
2024 ANNUAL CONTRIBUTION LIMITS $4,150 for Individual / $8,300 for Family Catch-Up Contributions: $1,000/year (HSA owners 55 and older)
HOW THE HSA WORKS
Present your ID Card
Complete your visit with a provider
Provider will submit your claim for processing
HealthScope will adjust the claim and prepare the EOB (Explanation of Benefits)
You will receive an EOB from the insurance company and an invoice from your provider
Pay the patient responsibility from your HSA account
FLEXIBLE SPENDING ACCOUNTS
FLEXIBLE SPENDING ACCOUNT
Eligible expenses include medical, dental, and vision expenses and some over-the-counter items. Employees enrolled in the HDHP with HSA may not participate in a general-purpose FSA.
You can elect up to $3,200 annually. Your annual election is subject to the use-it-or-lose-it rule, which means you will forfeit any unused funds remaining in your account when the next plan year begins. You are only able to carry over up to $640 into the new plan year.
Your full annual election is available on day one of the new FSA plan year (January 1, 2025).
LIMITED PURPOSE FLEXIBLE SPENDING ACCOUNT
The Limited Purpose FSA is only available to employees who are enrolled in the HDHP with HSA. The Limited Purpose FSA only reimburses for qualified dental and vision expenses.
You can elect up to $3,200 annually. Your annual election is subject to the use-it-or-lose-it rule, which means you will forfeit any unused funds remaining in your account when the next plan year begins. You are only able to carry over up to $640 into the new plan year.
DEPENDENT CARE ACCOUNT
If you have a child (under the age of 13) or disabled loved one, you might rely on services like day care, after school or elder programs to be able to go to work. Lessen the financial burden by enrolling in this account.
Eligible expenses include day care, babysitting, before and after school programs. You are able to elect up $5,000. Please note this is a use-it-or-lose-it election, which means you will forfeit any unused funds remaining in your account when the next plan year begins.
TRANSIT AND PARKING ACCOUNT
The Transit & Parking Account reduces your commuting expenses by allowing you to set aside pre-tax money for qualified transit and parking expenses you incur while getting to and from work.
The maximum amount you can contribute is $315 per month.
Eligible expenses include:
- Transit Expenses
- Parking Expenses
How does a Flexible Spending Account (FSA) work?
Here’s an example of how a participant can increase their take-home pay by participating in an FSA:
Annual Income
Unreimbursed Expenses
Annual FSA Contribution
Taxable Salary
Tax Deduction (est. 35%)
Net Take-Home Pay
ANNUAL SAVINGS
WITHOUT FSA
$40,000
$2,000
$-
$40,000
$14,000
$24,000
$0
WITH FSA
$40,000
$-
$2,000
$38,000
($13,300)
$24,700
$700
Click the link below to be directed to the TASC FSA calculator to project your personal savings!
IMPORTANT NOTES:
- The Chefs' Warehouse FSA plan runs on a calendar-year basis. Your Healthcare and Dependent Care Account balances in the FSA must be used by December 31st of each calendar year. You may only carry over up to $640 of Healthcare FSA funds and you are not permitted to carry over any funds in the Dependent Care Account. Please note remaining funds are forfeited upon termination of employment.
- The Commuter FSA funds can roll over, however, funds will be forfeited upon employment termination.
- If you wish to participate, you must complete your online enrollment to choose your annual election amount every year.
- The eligible expenses must be incurred during the plan year to be eligible for reimbursement.
