CODAC 2025 Emplyee Benefits Guide

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HEALTH SAVINGS ACCOUNT (HSA) Employer contribution applies to the High Deductible Health Plan, $3,300

If you are enrolled in the High Deductible Health Plan, you are eligible to establish a Health Savings Account. Each calendar year, the IRS sets the contribution limits for single and family amounts that can be contributed to your HSA. Your contribution is tax-free, earns interest and you can invest your HSA contributions according to the financial institution of your choice.

• CODAC will contribute $100 per month ($46.15 per pay period) at all enrollment levels (Employee, Employee + Spouse, Employee + Child(ren, Employee + Family).

• The 2025 maximum IRS allowable contribution, employee and employer contributions combined, is $4,300 for an individual and $8,550 for a family.

• You may choose to use the funds in your HSA for current qualified medical expenses or save it for future qualified medical expenses for yourself, your spouse, or eligible dependents. (Domestic Partners are not eligible dependents as defined by IRS thus HSA contributions are not allowed as reimbursable for Domestic Partners expenses.)

• Your balance is carried over from year-to-year and is NOT considered “USE IT OR LOSE IT” if unused. This is your money, so the dollars stay with you.

Click here to learn more about how an HSA can help you save for HDHP healthcare expenses

SECTION 125 - PRE-TAX PROGRAM PREMIUM ONLY Plan :

Enables your employer to deduct medical, dental, and vision premiums from your paycheck on a pre-tax basis. Because your premiums are deducted on a pre-tax basis, you may reduce your State, Federal and Social Security tax liability. When enrolled in a Section 125 plan, you must remain enrolled in the applicable plans for the entire plan year and cannot deduct your premiums from your taxes when you file at the end of the year. FULL HEALTHCARE Spending Account: You may contribute up to $3,200 per plan year for out of pocket qualified medical/dental/vision/pharmacy expenses for yourself, your spouse or eligible dependents. Over the counter (OTC) products no longer require a prescription to be eligible for reimbursement. You are not eligible to enroll in a FULL HEALTHCARE Spending Account if you are enrolled in an HDHP plan, but you would be eligible to enroll in a LIMITED PURPOSE Spending Account. LIMITED PURPOSE FLEXIBLE Spending Account: If you contribute or plan to contribute to an HSA you can open a Limited FSA, which will only allow reimbursement for dental and vision expenses. You may contribute up to $3,200 per plan year to this account. Any carryover in the Full Healthcare and Limited Purpose Plans are in accordance to IRS guidelines. DEPENDENT CARE FLEXIBLE Spending Account: You may deposit up to $5,000 per plan year ($2,500 if married, filing separately) to pay for qualified dependent daycare expenses. The expenses are for the care of a child under the age of 13 years, or a dependent who is not capable of self-care. You are reimbursed only up to the amount you have contributed at any given time.