Pre-Tax Savings

Overview

You can save money on health care and dependent care expenses by paying for them with tax-free accounts. Using these accounts effectively will help you take full advantage of their money-saving potential.

Tax-free money

Money goes in tax-free and comes out tax-free when it's used for eligible expenses.

Convenient payroll deductions

Contribute to your accounts easily and effortlessly.

Helpful budgeting tool

Plan for upcoming expenses by setting aside money each paycheck.

Compare the accounts

HSA vs. FSA

Access your account

What’s eligible?

How much could you save?

View this example to see how much contributing to an HSA or FSA could save you.

Tax-advantaged accounts make a difference!

See how much contributing to an HSA or FSA could save you over the course of a year.

Tax savings on $2,000 contribution to HSA or FSA
28% in federal income tax	$560
5% in state income tax	$100
7.65% in payroll tax	$153
Total tax savings for the year with an HSA or FSA	$813

This hypothetical illustration is for educational purposes only. Dollar amounts or savings will vary depending on income, state and city tax rules, and other factors. Please consult a tax, legal, or financial advisor about your own personal situation.

Comparing the Accounts

	HSA	Limited Purpose Health Care FSA	Health Care FSA	Dependent Care FSA
Available with …	Medical HSA Plan	Medical HSA Plan	Standard PPO Plan Premier PPO Plan (Also available if you waive medical coverage)	Any medical plan (Also available if you waive medical coverage)
Receive company contribution	$250 (Employee Only tier) $500 (all other tiers)	No	No	No
Change your contribution amount anytime	Yes	No	No	No
Access your entire annual contribution amount as needed	No	Yes	Yes	No
Access only funds that have been deposited	Yes	No	No	Yes
Use account money for…	All eligible health care expenses	Only dental and vision expenses until you meet the IRS-required deductible, then use for all eligible health care expenses	All eligible health care expenses	Eligible dependent care expenses, including child care for children up to age 13 and care for dependent elders
“Use it or lose it” at year-end	No	Yes	Yes	Yes
Money is always yours to keep	Yes	No	No	No

Health Savings Account

Employees in the Medical HSA Plan can open and contribute money to a Health Savings Account through HealthEquity. The HSA is a tax-free savings account that you can use to pay for eligible health expenses anytime, even in retirement.

Put money in tax-free.

Contribute to your HSA through pre-tax payroll deductions.
Change your contribution amount anytime.

Get company contributions.

$250 for employees with Employee Only medical plan coverage
$500 for employees who also cover dependents

Pay for care tax-free.

Pay for eligible medical, dental, and vision expenses for you and your family using your HSA debit card (provided sufficient funds are in your account).
Track your spending, check your balance, reimburse yourself, and more at HealthEquity.
Keep in mind, you can only spend money that has actually been deposited into your account.

Carry over unused money.

All the money in your HSA is yours to keep, year after year
You can build up savings to pay for future health care expenses. You can even invest your money once it reaches a minimum balance, which gives you the potential for tax-free earnings growth and a way to plan ahead for your medical costs in retirement.

Keep in mind: 2023 contribution limits

The total amount you and Publicis can contribute to your HSA this year is:

$3,850 for individual medical coverage.
$7,750 for family medical coverage.
Add $1,000 to these limits if you’re age 55 or older.

Use your HSA together with the Limited Purpose FSA for additional tax savings. Note that with the Limited Purpose FSA, only dental and vision expenses are allowed.

Triple tax advantage

The HSA has a triple tax advantage that trumps even a 401(k) or Roth IRA.

Money goes in tax free for federal taxes (state income taxes may apply in some states).
Your balance can grow tax-free, through interest or investment earnings.
Money comes out tax free when used on eligible expenses.*

* Money in an HSA can be withdrawn tax free as long as it is used to pay for qualified health-related expenses. If money is used for ineligible expenses, you will pay ordinary income tax on the amount withdrawn, plus a 20% penalty tax if you withdraw the money before age 65.

Getting started

To open an HSA, you must be enrolled in the Medical HSA Plan. If you’re enrolled and haven’t opened an HSA yet, visit HealthEquity to open your account. If you’re not enrolled in the Medical HSA Plan you may enroll during the next Open Enrollment period.

A married couple can expect to spend $350,000 on health care costs during retirement, even with Medicare coverage. If you contributed the annual maximum to your HSA for 30 years, your account could grow to $313,000. And don’t forget, Publicis’ contributions help you reach the annual limit faster!

Source: EBRI.org. Estimate of future account value assumes a 5% rate of return and no withdrawals.

Participation in a Health Savings Account — Important Rules:

Since HSAs offer significant tax advantages, the IRS regulates who may contribute. You may not participate in a Health Savings Account if:

You can be claimed as a tax dependent on another individual’s tax return
You are also enrolled in Medicare or TRICARE
You have medical plan coverage other than a high-deductible health plan (like the Medical HSA Plan), including coverage under your spouse’s or domestic partner’s plan
You or your spouse participates in a health care FSA in or outside of the Publicis benefits platform

Flexible Spending Accounts

Flexible Spending Accounts (FSAs), administered by HealthEquity, provide you with a convenient way to lower your out-of-pocket costs for medical, dental and vision expenses, as well as many day care expenses. Using an FSA is like getting a discount on everyday health and/or dependent care expenses because you’re paying with tax-free money. There are separate FSAs for health care and dependent care.

With FSA money, you use it or lose it. If you have a balance left in your FSA as year-end approaches, try to spend as much of it as you can on eligible expenses. Request reimbursement or manage your account on the HealthEquity website.

Health Care FSA

Pairs with the Standard PPO Plan and Premier PPO Plan only; also available if you waive Publicis medical coverage

Contribute up to $3,050 for the plan year to help cover eligible medical, dental, and vision expenses. The minimum annual contribution is $120.
Select your annual contribution amount during Open Enrollment. You can only change your contribution amount during the year if your personal situation changes. Spend your money by using your HealthEquity Healthcare Card or request reimbursement for payments you’ve made. (Remember to keep receipts for your eligible healthcare purchases; Publicis reserves the right to request receipts at any time.)
Unused money does not carry over at the end of each year — use it or lose it.

Limited Purpose Health Care FSA

Pairs with the Medical HSA Plan only

Works together with the Health Savings Account (HSA) to give you additional tax-saving opportunities.
Contribute up to $3,050 annually. The minimum annual contribution is $120.
This account can be used to cover eligible dental and vision expenses only.
Select your annual contribution amount during Open Enrollment. You can only change your contribution amount during the year if your personal situation changes.
Spend your money by using your HealthEquity Healthcare Card or request reimbursement for payments you’ve made. (Remember to keep receipts for your eligible healthcare purchases; Publicis reserves the right to request receipts at any time.)
Your entire annual contribution amount is available to you from the beginning of the plan year.
Unused money does not carry over at the end of each year — use it or lose it.

Dependent Care FSA

Pairs with any (or no) medical plan

Contribute up to $5,000 a year ($2,500 if you and your spouse file separate tax returns) to help cover your eligible dependent care expenses. The minimum annual contribution is $120.
Use HealthEquity website to reimburse yourself for payments you’ve made. Keep in mind, you only have access to money that has actually been deposited into your account — your entire annual contribution amount is not available to you from the beginning of the plan year.
Select your annual contribution amount during Open Enrollment. You can only change your contribution amount during the year if your personal situation changes.
Unused money does not carry over at the end of each year — use it or lose it.

If you initiate a qualifying event change and update your FSA goal, please keep in mind that the qualifying event update is only applicable to services that occur post the effective date of the change (even if you had an FSA election in place prior to the qualifying event).

Planning FSA contributions

A bit of careful planning can ensure you reap maximum FSA savings. Consider:

Elections you have made for medical, dental, and vision coverage.
Health care expenses (like a surgery or procedure) or known out of pocket costs (like prescription drugs) you and your dependents expect to incur during the year.

Then estimate the amounts that may not be reimbursed by the coverage you have chosen. Include deductibles, your share of coinsurance and any copayments. Remember FSAs are “Use It or Lose It”, so be conservative with the amount you estimate.

HealthEquity provides FSA calculators to help you calculate your savings:

To view some of the most frequently asked questions, please visit the FSA FAQs.

Submitting Claims

If you open a Health Care Flexible Spending Account (FSA) or Limited Purpose Health Care FSA, you will automatically receive a HealthEquity Healthcare Card that you can use at qualifying merchant locations to withdraw funds directly from your account(s). The HealthEquity Healthcare Card is accepted only at certain merchants, including physician offices, hospitals, dentist offices, pharmacies, mail-order prescription drug vendors, and hearing and vision care providers.

The card will also work at discount stores and grocery stores, provided the merchant has implemented the Inventory Information Approval System (IIAS), which is required by the IRS. The IIAS only allows eligible expenses to be purchased using your HealthEquity Healthcare Card at these merchants.

The HealthEquity Healthcare Card withdraws funds directly from your FSA account(s). You should retain receipts for all Health Care Flexible Spending Account (FSA) or Limited Purpose Health Care FSA expenses as the Company reserves the right to request them at any time.

You may also submit claims with the:

HealthEquity Web Portal
HealthEquity Mobile App

FSA special rules and restrictions

The Internal Revenue Service (IRS) regulates the tax advantages FSAs provide closely. Keep in mind the following rules in choosing and using FSAs:

If you participate in an HSA, you are not allowed to participate in a regular Health Care Flexible Spending Account (FSA). You may participate in a Limited Purpose Health Care FSA or Dependent Care FSA.
Your FSAs can only reimburse you for eligible expenses incurred during the calendar year. You have until March 31 of the following year to submit claims to your FSAs for expenses incurred by December 31. Any unused funds remaining in the FSAs will be forfeited. This is known as the “Use It or Lose It” rule.
You cannot transfer money among the Health Care Flexible Spending Account (FSA), Limited Purpose Health Care FSA and Dependent Care FSA.
You cannot use Health Care Flexible Spending Account (FSA) funds to pay for dependent care expenses, and vice versa.
Your future Social Security benefits may be based on slightly lower wages due to your tax-free FSA contributions and lower Federal Insurance Contribution Act (FICA) tax withholdings.
You cannot change or discontinue your election before the next enrollment period unless you experience a mid-year qualifying life event. Please review the Publicis Connection Life Events/Benefits Matrix.
The expenses reimbursable under the Dependent Care FSA are the same as those for which you can claim a tax credit on your federal and state income tax returns. However, you cannot claim any expenses paid through this FSA on your income tax form.