FSAs - How They Work
Northrop Grumman offers two types of flexible spending account (FSA) options. You can participate in one, both, or neither of the FSAs.
If you choose to participate, you can contribute up to $2,500 in the Health Care FSA and up to $5,000* in the Dependent Care FSA for a full 12-month plan period. FSAs can help you save money on your taxes by allowing you to use pre-tax dollars to pay for eligible expenses
All eligible expenses must be incurred between July 1 and June 30 of the plan year in which you elected the FSA. However, for the Health Care FSA, there is an extended grace period to Sept 15 during which expenses can be incurred, and claimed, under the prior plan year’s account. All claims must be submitted no later than October 31 following the end of the Plan year
. Any money that remains in your FSA after October 31 following the end of the plan year will be forfeited. Be sure to estimate your contributions carefully.
Health and Dependent Care FSAs - Frequently Asked Questions
*$4,000 annual contribution limit for Dependent Day Care FSA if you earn $115,000 or more a year.