Benefits Plans - Flexible Spending Accounts

Looking to enroll in an FSA?

What's the difference between a Health Care FSA and a Dependent Care FSA?

  • A Health Care FSA pays for eligible medical expenses for you and your dependents that are¬†not¬†covered or reimbursed by your health plan, dental plan, vision plan, or any other type of insurance.
  • The Dependent Care FSA pays for child care or adult dependent care expenses that are needed to allow you or your spouse to work or your spouse to attend school full-time. The Dependent Care FSA does NOT pay for medical care for your dependents.

Click here to learn more about the difference between these two types of FSAs.

FSA Publications

Over-the-Counter Drugs/Medicines

  • You need a prescription from your doctor to receive reimbursement from your Health Care FSA for the purchase of eligible over-the-counter (OTC) drugs/medicines.
  • You cannot used your debit card to purchase OTC drugs/medicines, even with a prescription.

For a list of eligible health care expenses, including OTC drugs/medicines that require a prescription for reimbursement and for which you cannot use your debit card, visit the PayFlex/HealthHub website.

Register Your Account Online

  • To submit a claim online you first need to register. Go to the PayFlex/HealthHub website for University of Michigan faculty and staff at:
  • Click Register on the homepage. Enter your 8-digit UMID as your Member ID (not your Social Security Number) and then enter your zip code. Complete the online registration form.

FSA Information

Deadlines for FSA Claims for Reimbursement
2014 Expenses

Only eligible expenses incurred on or after your 2014 effective date* are reimbursable from your 2014 FSA.

  • You must file claims for your 2014 expenses by May 31, 2015
2015 Expenses

Only eligible expenses incurred on or after your 2015 effective date* are reimbursable from your 2015 FSA.

  • Account deductions continue until December 31, 2015
  • You can incur eligible expenses up to March 15, 2016
  • You must file claims for your 2015 expenses by May 31, 2016

*Effective Date: If you enroll during Open Enrollment, your FSA is effective January 1. Otherwise your account becomes effective the first of the month following the date the enrollment form is received by SSC Benefits Transactions, your date of hire, or the date you become newly-eligible, whichever is later. For example, if your date of hire is March 1, and your Flexible Spending Account enrollment form is received March 10, your account becomes effective April 1. Only eligible expenses incurred on or after your effective date through March 15 the following year are eligible for reimbursement from your current year FSA. You must re-enroll each year during the annual Open Enrollment period if you wish to participate for the following calendar year.

FSA Overview

The university's Flexible Spending Accounts allow you to set aside pre-tax dollars for certain out-of-pocket health care and dependent care expenses, thus lowering the amount of income tax you will pay while providing more value for every expenditure you make.

The university offers two types of accounts:

  1. Health Care Flexible Spending Account
    A Health Care FSA allows you to pay for eligible medical expenses for yourself and your eligible dependents using pre-tax dollars you contribute out of your paychecks. Eligible expenses may include medical, dental, and vision expenses that are not covered by your health plan, and other eligible out-of-pocket costs such as co-pays. Because you pay for these expenses before taxes are taken out of your paycheck, you save money. See the PayFlex Eligible Expense Items page for more information.

  2. Dependent Care Flexible Spending Account
    The Dependent Care FSA allows you to set aside pre-tax money from your paychecks to pay for daycare expenses for your eligible dependents incurred so you can work, or if you are married, so you and your spouse can work, or you or your spouse can attend school full-time. Examples of eligible expenses include licensed day care (elder care or child care), nursery school, and summer day camps.

How the Accounts Work

Managing a Flexible Spending Account is simple. Each year, you set aside an amount you reasonably predict you will spend on health care and work-related dependent care and contribute this sum on a pretax basis into the appropriate Flexible Spending Account. Your contributions to FSAs do not reduce your pay for determining your life insurance, travel accident insurance, long-term disability, or retirement benefits provided by the university.

Savings Calculator

The university's claims processor, PayFlex/HealthHub, provides an online FSA Calculator to help you determine how much to contribute to your FSA account, and lets you know how much you can save by using pre-tax dollars to pay for eligible health care and/or dependent care expenses.

Contribution amounts are reported to PayFlex monthly at the end of the month in which the payroll deduction is taken.

Then, as you incur eligible expenses, you simply submit the required documentation to PayFlex.

PayFlex/HealthHub will usually reimburse all claims for eligible expenses within ten business days from the date it receives your request.

An important difference to remember:

  • You can file claims for amounts totaling your entire annual health care contribution from your Health Care Flexible Spending Account at any time during the year;
  • To receive a reimbursement from your Dependent Care Flexible Spending Account, you must have accumulated sufficient contributions to cover your claim at the time your request is made.

Visit the PayFlex/HealthHub website at:

Next: Eligibility and Enrollment



The University of Michigan in its sole discretion may modify, amend, or terminate the benefits provided with respect to any individual receiving benefits, including active employees, retirees, and their dependents. Although the university has elected to provide these benefits this year, no individual has a vested right to any of the benefits provided. Nothing in these materials gives any individual the right to continued benefits beyond the time the university modifies, amends, or terminates the benefit. Anyone seeking or accepting any of the benefits provided will be deemed to have accepted the terms of the benefits programs and the university's right to modify, amend or terminate them.