The Federal Benefits Open Season is just around the corner, providing a valuable opportunity for Service members and their families to save money on essential expenses. This year's Open Season for the Federal Flexible Spending Account Program (FSAFEDS) is expected to run from November 10 to December 8. Now is the perfect time to learn how you can lower your taxable income and make your money go further.
What is a Flexible Spending Account (FSA)?
A Flexible Spending Account (FSA) allows you to set aside pre-tax dollars from your paycheck to pay for eligible out-of-pocket healthcare and dependent care expenses. Because the money is deducted before taxes, you reduce your overall taxable income, resulting in significant savings throughout the year.
There are two types of FSAs available:
- Health Care FSA (HCFSA): Used to pay for eligible medical, dental, and vision expenses that are not covered by your insurance plan. This can include deductibles, copayments, and prescriptions.
- Dependent Care FSA (DCFSA): Used to pay for eligible care for your child (under 13) or a dependent of any age who is incapable of self-care. This includes expenses like daycare, preschool, summer day camps, and elder care that enable you and your spouse to work or look for work.
Crucial reminder: You must re-enroll each year
Enrollment in an FSA is completely voluntary and, most importantly, does not automatically carry over from one year to the next. Unlike some other federal benefits, you must actively choose to enroll in an FSA each Open Season to participate in the upcoming year. If you are currently enrolled and wish to continue, you must re-enroll during the Open Season window.
For those currently enrolled, be sure to use your HCFSA for eligible expenses by Dec 31, 2025, or March 15, 2026 for DCFSA.
Attend the webinar to learn more
To help you navigate your options, the Coast Guard Personal Financial Management Program (CG PFMP) is hosting two comprehensive webinars. These sessions are designed to give Service members and their families a clear understanding of how FSAs work and how to make the most of them.
During the webinar, you will learn:
- The key differences between a Health Care FSA and a Dependent Care FSA.
- The step-by-step process for enrolling and managing your account.
- A detailed overview of eligible expenses for each type of account.
The presentation will be led by Dr. Beth A. Darius, a Program Analyst for Financial Readiness in the Office of the Military Compensation and Financial Readiness, U.S. Department of Defense.
Webinar dates and times:
- September 30: 1400-1500 EST via Zoom (open to spouses)
- October 22: 1400-1500 EST via Teams
Don't miss this opportunity to take control of your finances and prepare for the Federal Benefits Open Season.
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