Reimbursement Accounts are a pre-tax savings program to save for health and dependent care expenses. These accounts lower your taxable income, while setting aside money for upcoming health and dependent care expenses. You can only use this tax-free money to pay expenses that you have during the year in which you deposited money into the account. An important point to keep in mind, when considering a Reimbursement Account, is the "use it or lose it" rule. If you do not submit valid claims for the money in the account within the Plan year, you will lose any money that is leftover.

Health Care Reimbursement Account

To participate in a Health Care Reimbursement Account you elect to deposit a set amount of money into the account during the year. Go to Benefits Enrollment Worksheet for your deposit options. You can use the money you deposit to repay yourself for eligible health care expenses not covered by your medical, dental and/or vision plans. Some eligible expenses are:

• Medical and dental plan deductibles
• Copayments for covered medical, dental and/or vision care services
• Expenses that exceed benefit limits, such as eyeglass frames or orthodontia
• Expenses that exceed the plan's reasonable and customary limit.

You cannot use money from the account to cover the cost of over-the-counter drugs or vitamins, cosmetic surgery or payment for health care coverage.

Dependent Care Reimbursement Account

To participate in a Dependent Care Reimbursement Account, you must need dependent care services because of your work. You can recover the costs of services provided for your dependent children under age 13, or for infirm dependents of any age that you claim on your income tax. Covered dependent care expenses include:

• Qualified child or adult day care center
• Babysitter at least 19 who is not your dependent
• Nursery school, pre-school and after-school programs
• Housekeeper whose duties include dependent care

Remember, if you don't have the qualified expenses for reimbursement, you lose the money in the account.