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End of Year Pre-Tax Expense Account Reminder
May 22, 2007, Volume 53, No. 34

Do you still have money left in your Pre-Tax Expense Accounts (Health Care or Dependent Care)?   If so, you should keep some important dates in mind because of an IRS regulation known as “Use It or Lose It”. If you don’t spend the full balance in your account each plan year, you lose that unused money! 

Our plan year runs from July 1 to June 30 of each year. The money you contribute to the Pre-Tax Expense Accounts during each plan year can only be used for expenses incurred during that plan year–plus an additional 2½ month grace period. And you must submit your claims for eligible expenses no later than September 30 of each year. Please note that you must be actively participating in the accounts when you incur the expenses.

Plan Year

Time frame to incur expenses

Deadline to submit claims

July 1, 2006–June 30, 2007

July 1, 2006–September 15, 2007

September 30, 2007

July 1, 2007–June 30, 2008

July 1, 2007–September 15, 2008

September 30, 2008

Visit the Human Resources website at www.hr.upenn.edu/benefits/pretax/default.asp for more information on the Pre-Tax Expense Accounts including listings of eligible expenses and instructions on how to file a claim. Or call the Penn Benefits Center at 1-888-PENNBEN (1-888-736-6236), Monday through Friday, 8 a.m. to 6 p.m. (select Option 3).

Almanac - May 22, 2007, Volume 53, No. 34