Flexible Spending Accounts
(FSA) (Section 125)
The Health Care Flexible Spending Account benefit qualifies under Code Section 125 of the IRS. It was developed to make benefits more affordable for participants. A Health Care FSA may be used to pay health care expenses not covered under any other plan. A specified amount of pre-taxed money will be deducted from the participant’s paycheck each pay period. These specified funds are set aside in a reimbursement account and subtracted from the gross earnings before any taxes are taken out. With the use of the NWGS flex convenience card patients, providers, payers and financial institutions share data and move money to create a better connected healthcare payment process.