(combination tax-free/ taxable spending account)
Flex plans allow an employee to select from the list of available options (selected by the employer) the benefits that best suit their needs based on the stage of life they're in and allocate accordingly. Employees have a fifteen day window to login and allocate from the time they are added to the plan, or upon yearly plan renewal. The allocation must be made at the beginning of the benefit year (as per CRA required element of risk).
When the amount is allocated, the credits are locked in for the plan year and cannot be changed. Income tax considerations are an integral part of the design of flexible employee benefit programs and an important aspect of the selection of benefits by the employee.
Pick a spending account to meet your client's needs!
See more of the accounts we offer below:
A non-taxable alternative or supplement to a traditional benefits plan, offered on our completely digital platform. An HSA can be used to “carve out” infrequently used coverage such as orthodontics or vision care.
A taxable spending account provided by employers to promote healthier lifestyles and employee satisfaction. A WSA will typically encompass what the company believes are items that reward and incentivize their staff.
Inside the myASO plan, the employer can drill down to the sub-item level and completely customize the non-taxable and taxable lists with category limits and yearly caps. myASO also allows funds to be pooled or per individual family member.