PriorityFSA: flexible spending arrangement
Give your employees significant tax savings
When your employees sign up with the
PriorityFSA flexible spending arrangement (FSA), they experience tax savings of up to 40% of every dollar they spend on health care deductibles, copays, dental care, braces, glasses or contacts, child care and much more. They control their own health care expenses and keep a closer eye on their health, which may lead to reduced costs for you.
PriorityFSA features & advantages
- Two options:
- Health FSA, which can be used for eligible health care expenses, and
- Dependent care assistance program (DCAP), which can be used for child care expenses for dependent children up to age 13
- Employees save money by setting aside tax-free dollars to pay for dependent care and/or certain health care expenses that are not paid for by their health insurance plan.
- Automatic reimbursement: when your employees are covered by a Priority Health plan, their copays, coinsurance and deductibles will automatically be reimbursed, no forms needed.
- Priority Health handles all administrative duties.
- You may offer just a health FSA, just a DCAP or both, and employees may choose to enroll in either or both.
- You set the contribution limit for health care expenses; employees decide how much money to set aside.
- Employees can track their own account balances through their secure online accounts
- For health FSAs: The entire annual amount an employee sets aside is available right away. If an employee set aside $600 ($50 a month) in a health FSA and has $600 in health care or medical expenses in February, they can be reimbursed the whole $600 from the PriorityFSA immediately. It doesn't matter that they have only contributed $100 of the $600 annual total so far.
- For DCAPs: The employee can only be reimbursed for what they have contributed so far. If they set aside $600 ($50 a month) in a DCAP account, and would like to make a withdrawal in February, they can only withdraw $100 since that's the amount contributed so far.
- Use it or lose it. Under IRS rules, employees lose any money they don't use by the end of the plan year.
Is an FSA right for you?
PriorityFSA plan administration
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