Dental Cash Option Three-Year Commitment
Once enrolled in the Dental Cash Option, the employee is obligated to stay in the Dental Cash for three plan years. After completion of the three plan year commitment, employees may enroll in a State dental plan during the next open enrollment period. The Personnel Office should take steps to monitor the three-year commitment and ensure compliance when employees request cash option enrollment/changes during or after the open enrollment period.
Exception to the three-year commitment: If employees lose their other dental coverage, they have days (after the loss of coverage) to cancel the cold calling list dental cash and reenroll into a State-sponsored dental plan. If this action is not requested within the -day period, employees must wait until the next open enrollment period to cancel the cash and reenroll into a dental plan.
Medical Reimbursement Account (MRA)
Employees may authorize a monthly deduction to be placed into a MRA to reimburse themselves for eligible medical expenses. The deduction is taken from the employees' paychecks before federal, state, and social security taxes are assessed. The minimum contribution into the account is $ per month; the annual maximum is $, per year. (Over a -month period, the monthly maximum is $) Employees who enroll mid-year can still contribute the annual maximum. In this situation, the monthly maximum deduction would not be limited to $ Employees may not request reimbursement from this account to pay for any out-of-pocket premium costs for their medical and/or dental insurance. Employees may reference the FlexElect Program handbook which provides a partial list of expenses that are payable under the State's FlexElect MRA.
Dependent Care Reimbursement Account (DCRA)
Employees may authorize a monthly deduction to be placed into a DCRA to reimburse themselves for expenses for eligible child care, elder care, and care for a disabled dependent. The deduction is taken from the employees' paychecks before federal, state, and social security taxes are assessed. The minimum contribution into the account is $ per month; the annual maximum is $, per year (per household) or $, for married, filing a separate income tax return. (Over a -month period, the monthly maximum is $) Employees who enroll mid-year can still contribute the annual maximum. In this situation, the monthly maximum deduction would not be limited to $ In any case, the annual contribution cannot exceed the lesser of (a) the applicable maximum amount, or (b) the employee's annual earned income, or (c) the annual earned income of the employee's spouse. If employees need help determining whether their expenses qualify for reimbursement, check IRS Publication
Annual Reenrollment Requirement: Employees enrolled in the MRA and/or the DCRA MUST REENROLL in FlexElect during the annual open enrollment period each year they wish to participate by completing a Reimbursement Account Enrollment Authorization (STD. R). There is no automatic reenrollment into either of the reimbursement accounts. Under the Internal Revenue Code governing the FlexElect Program, employees who enroll/reenroll into a MRA and/or DCRA during the annual FlexElect Open Enrollment Period, have until December (of the same year), to cancel or change their FlexElect elections (for the next plan year).
Administrative Fee
Employees enrolled in the Cash Option and/or a MRA/DCRA pay a monthly $ administrative fee. This fee is determined by CalHR and will be deducted from the participant's after tax salary each month.
Exception to the three-year commitment: If employees lose their other dental coverage, they have days (after the loss of coverage) to cancel the cold calling list dental cash and reenroll into a State-sponsored dental plan. If this action is not requested within the -day period, employees must wait until the next open enrollment period to cancel the cash and reenroll into a dental plan.
Medical Reimbursement Account (MRA)Employees may authorize a monthly deduction to be placed into a MRA to reimburse themselves for eligible medical expenses. The deduction is taken from the employees' paychecks before federal, state, and social security taxes are assessed. The minimum contribution into the account is $ per month; the annual maximum is $, per year. (Over a -month period, the monthly maximum is $) Employees who enroll mid-year can still contribute the annual maximum. In this situation, the monthly maximum deduction would not be limited to $ Employees may not request reimbursement from this account to pay for any out-of-pocket premium costs for their medical and/or dental insurance. Employees may reference the FlexElect Program handbook which provides a partial list of expenses that are payable under the State's FlexElect MRA.
Dependent Care Reimbursement Account (DCRA)
Employees may authorize a monthly deduction to be placed into a DCRA to reimburse themselves for expenses for eligible child care, elder care, and care for a disabled dependent. The deduction is taken from the employees' paychecks before federal, state, and social security taxes are assessed. The minimum contribution into the account is $ per month; the annual maximum is $, per year (per household) or $, for married, filing a separate income tax return. (Over a -month period, the monthly maximum is $) Employees who enroll mid-year can still contribute the annual maximum. In this situation, the monthly maximum deduction would not be limited to $ In any case, the annual contribution cannot exceed the lesser of (a) the applicable maximum amount, or (b) the employee's annual earned income, or (c) the annual earned income of the employee's spouse. If employees need help determining whether their expenses qualify for reimbursement, check IRS Publication
Annual Reenrollment Requirement: Employees enrolled in the MRA and/or the DCRA MUST REENROLL in FlexElect during the annual open enrollment period each year they wish to participate by completing a Reimbursement Account Enrollment Authorization (STD. R). There is no automatic reenrollment into either of the reimbursement accounts. Under the Internal Revenue Code governing the FlexElect Program, employees who enroll/reenroll into a MRA and/or DCRA during the annual FlexElect Open Enrollment Period, have until December (of the same year), to cancel or change their FlexElect elections (for the next plan year).
Administrative Fee
Employees enrolled in the Cash Option and/or a MRA/DCRA pay a monthly $ administrative fee. This fee is determined by CalHR and will be deducted from the participant's after tax salary each month.
