Because of the preferred tax status FSAs provide, the IRS sets strict rules about how the accounts can be used and administered, including:

> If you participate in both accounts, you cannot share or transfer money between your Health Care Spending Account (HCSA) and your Dependent Care Spending Account (DCSA). The IRS requires that these accounts remain separate.

> The money you contribute to the spending accounts each year can be used only to reimburse eligible expenses incurred from your coverage effective date through December 31 of that year.

> Any unused amounts left in your accounts after your eligible expenses incurred through the time periods described above have been reimbursed will be forfeited.

> When you use the debit card to pay eligible health care expenses, be sure to keep copies of your receipts in case you are asked to substantiate your expenses to Aetna or at some time in the future for IRS compliance. Due to IRS account administration guidelines, spending account transactions may require a copy of your receipt for documentation. Your receipt must show the amount, date of service, and nature of the expense. However, you do not need to submit receipts until you receive a written request from Aetna to do so. All participants who have unsubstantiated transactions will receive an IRS Form 1099 MISC. This form shows the dollar amount of the unsubstantiated expenses to be reported to the IRS. You can also check to see whether any of your submitted expenses require further documentation by logging in to InfoBank > BenefitsWeb > Health & Welfare > Flexible Spending Account.

Important Notice:

Questions about your employee benefits or other Human Resources issues? Contact the Workplace Solutions Center at (888) 471-2271.