Flexible Spending Accounts (FSAs)

The Internal Revenue Code provides many opportunities for employers and employees alike to pay less money each year in taxes. Unfortunately, without the knowledge of these opportunities unnecessary taxes are often paid into the U.S. Treasury. In today's business climate, Human Resource or Accounting departments often lack in one critical ingredient:

The Knowledge To Maximize
Tax Savings Opportunities

"There is nothing sinister in so arranging one's affairs to keep taxes as low as possible. Everybody does so, rich and poor; and all do right, for nobody owes any public duty to pay more than the law demands: taxes are enforced exactions, not voluntary contributions."
- Judge Learned Hand

What is Flex Plan Administration?

Flexible Spending Accounts were created by Section 125 of the Internal Revenue Code. Also known as Cafeteria Plans, they enable Employers and Employees to totally avoid taxation on certain benefit items such as health insurance premiums, unreimbursed medical expenses, and dependent care expenses, just to name a few. The proper Section 125 Flex Plan begins with an understanding of company objectives. BPC Flex Plan Administration begins with a discovery of each client's goals and objectives and includes:

  • Plan Design
  • Preparation of Plan Document
  • Plan Communication
    • Summary Plan Descriptions
    • Required Employee Notices
    • Enrollment Forms
  • Plan Administration
    • Processing of Flex checks to employees
    • Reports to Employer
    • Compliance Testing
    • Filing Form 5500
    • Document Compliance Review
    • More details about Flex Plans