As federal employees weigh health plan options during Open Season, registered employee benefits consultant Ed Zurndorfer advises feds not to overlook flexible spending accounts.
“What employees have to keep in mind is as they’re choosing their health care plan for 2013, there is no health insurance plan out there that’s going to pay for everything. Employees invariably are going to be paying something out of pocket for something,” Zurndorfer said in an interview with The Federal Drive with Tom Temin and Emily Kopp.
Flexible spending accounts are the best way to pay for these out-of-pocket costs, he said. Federal employees can open two types of flexible spending accounts: One for dependent care to use for child care and adult day care, and one for health care spending. These accounts are pre-tax dollars taken out of feds’ salaries.