FlexPlan: A Customizable Health and Wellness Spending Account

Looking for a benefits solution with more freedom and flexibility? Consider a Quikcard FlexPlan! This Flexible Spending Account combines both a Health Spending Account and a Wellness Spending Account to empower employees with the opportunity to choose how to spend their employer-provided benefit dollars. 

With a Quikcard FlexPlan, employees have more control over their health and wellness AND employers reap the rewards of a more satisfied workforce.

Here’s How It Works

A Health Spending Account
(HSA) covers eligible healthcare
expenses like dental, vision, and
prescriptions. These funds are
non-taxable.

A Wellness Spending Account
(WSA) covers lifestyle and
wellness-related costs such
as gym memberships, mental
health services, and more.
This portion is taxable.

With a Flexible Spending
Account (FSA), employees can allocate their benefit dollars between the HSA and WSA. They can tailor their plan to their individual needs within the boundaries their employer sets up each year.

The Benefits of a Quikcard FSA

Employee Assistance Program Benefits

With a Flexible Spending Account (FSA), employees have the power to allocate their benefit dollars between health and wellness spending. This flexibility allows them to personalize their benefits to suit their individual needs, all within the framework set by their employer each year.

    Employee Choice

  • Employees decide how much of their employer-provided benefit dollars go toward their HSA or WSA, offering a highly personalized benefit experience.

    Annual Enrollment

  • During the 30-day annual enrollment period, employees choose their HSA/WSA allocations for the upcoming year. Annual reports are then sent to their plan administrators for tax reporting purposes, to ensure compliance, and to simplify tracking.

  • If an employee does not make a selection during the enrollment period, default allocations set by the plan administrator will be applied. This ensures that every employee is covered and able to benefit from the plan, even if they don't actively choose their allocations.


Why Choose an FSA

FlexPlan Vs. Traditional Plans

In traditional HSA/WSA plans, benefit allocations are fixed, and employees must follow preset distributions. A Quikcard FlexPlan allows employees to choose how to split their benefit dollars between health and wellness—making it a more versatile and personal solution.

Why Choose a Quikcard FlexPlan?

As an independently owned Canadian company, Quikcard ensures that FlexPlan complies with Canada Revenue Agency (CRA) guidelines to provide a cost effective, tax-efficient, and customizable benefits option that meets the needs of both employers and employees.

Quikcard FlexPlan offers:

  • Flexibility & Personalization: Employees tailor their benefits, leading to higher engagement and satisfaction.
  • Tax Advantages: HSA allocations remain non-taxable, while the WSA provides taxable support for wellness initiatives.
  • Improved Employee Wellbeing: Employers have the opportunity to support both health-related and wellness activities, fostering a happier and healthier workforce.

What makes up a FSA?

An FSA is a combined benefit plan that consists of two primary components:

Health Spending Account (HSA)

Covers:

Eligible health expenses like medical, dental, and vision care

Non-Taxable Benefit:

Contributions are tax-free for employees, offering a cost-effective way to pay for health expenses

Wellness Spending Account (WSA)

Covers:

Wellness-related costs, such as gym memberships, counseling, and nutrition programs.

Taxable Benefit:

Contributions are considered taxable income for the employee.

Flexible Spending
Account (FSA)

Covers:

The flexibility of an FSA allows employees to choose how to allocate their funds between health and wellness expenses, tailoring their benefits to their unique needs. 

Combination:

While the HSA focuses on health and medical costs, the WSA supports wellness and lifestyle benefits. This combined approach offers comprehensive coverage and promotes overall well-being.

An FSA combines the flexibility of both an HSA and a WSA. While an HSA covers eligible medical and dental expenses (as defined by the Canada Revenue Agency), a WSA focuses on promoting overall wellness, including fitness memberships, mental health services, and lifestyle expenses. An FSA allows employees to choose how much to allocate to either account type.

Contributions made by the employer to an employee’s FSA are generally tax-deductible as a business expense. However, only the health portion (HSA) is non-taxable to the employee. The wellness portion (WSA) is considered a taxable benefit.

Eligible expenses under the health portion of the FSA include those that qualify as medical expenses under the Canada Revenue Agency guidelines. This may cover prescription medications, dental care, vision care, paramedical services (e.g., physiotherapy, chiropractic), and other health-related expenses.

The wellness portion of an FSA covers expenses aimed at promoting a healthier lifestyle, such as fitness memberships, sports equipment, mental health counseling, nutritional programs, smoking cessation programs, and other wellness-related activities. These expenses are subject to employer policies.

Yes, employees can allocate a specified amount of their benefit dollars to either health (HSA) or wellness (WSA) spending, based on their personal needs. The flexibility of an FSA enables employees to balance their coverage to suit their lifestyle.

Employees can submit their claims for eligible health and wellness expenses through an online portal or mobile app and via email. They need to provide receipts and other supporting documentation as required. Once approved, reimbursements will be processed as per the employer’s benefit plan.

Employers set the total amount that can be allocated to an employee's FSA. This limit is typically determined during the plan design and can vary based on the organization's benefit policies. Employees are then free to decide how to split that allocation between health and wellness spending. Employers choose the allowable range for the allocations of both the HSA and WSA limits that employees can select.

Unfortunately, we cannot setup FSA’s with a carry forward option given the taxable nature of WSAs. If you would like to have HSA carry forward, we can setup standalone HSA and WSA accounts. Contact our team for further information.

Yes, FSA plans can be implemented by a variety of employers across different industries in Canada, including private, public, and non-profit organizations. They are customizable to suit the needs of both employers and employees.

An FSA gives employees control over their benefits by allowing them to allocate funds based on their current health and wellness needs. This flexibility helps employees access a wider range of services and supports a more balanced approach to health and well-being.

Yes, the health portion of the FSA can be used to cover eligible expenses for an employee’s dependents, as defined by the Canada Revenue Agency. The wellness portion's coverage for dependents is subject to the employer's policy on eligible expenses.

Current HSA customers can move to an FSA. Moving to an FSA may require a simplification of current plan. The plan administrator can contact our team who will review the coverage and advise on the next steps.

An FSA does not have any frequency restrictions or limitations as to how much is in a specific benefit category - such as a limit of $500 for massage only.

Discover the Unique Benefits of a Quikcard FlexPlan

Empower your employees with an innovative benefits solution that gives them greater levels of freedom and control. FlexPlan is available with fast, easy setup and award-winning support every step of the way. Contact us or your broker for more details.

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17010 103 Avenue NW
200 Quikcard Centre
Edmonton, Alberta T5S 1K7
Ph: +1.780.426.7526
TF: +1.800.232.1997
F: +1.780.426.7581

© 2024 Quikcard

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17010 103 Avenue NW
200 Quikcard Centre
Edmonton, Alberta T5S 1K7
Ph: +1.780.426.7526
TF: +1.800.232.1997
F: +1.780.426.7581

© 2024 Quikcard

Download our member app
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