| Home >>> Health Care Savings Plan >> Frequently Asked Questions | |||||
| HCSP Frequently Asked Questions | |||||
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| Plan Basics | Reimbursements | ||||
| Website and AVR Access | |||||
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| Plan Basics Q. What is the MSRS Health Care Savings Plan? A. It is a program established to provide tax-free reimbursement to individuals for the payment of eligible medical expenses, based on the potential contributions of employers, mandatory employee contributions and investment returns. Q. Must employers participate in this plan? A. Employer participation is a voluntary process gained through negotiations between each union and employers or under personnel policies. Q. Must all unions agree on programs for the plan to be established? A. No. Each union may independently bargain benefits and/or funding. Q. Who is eligible to participate in the Health Care Savings Plan? A. Any active public employee in Minnesota is eligible for plan participation if they are eligible to be covered by any of the following retirement plans:
A. Governmental Integral Part Trust. Q. What is the administrative fee for the HCSP? A. The annual administrative fee is 0.65 percent. This fee is prorated and deducted monthly from your account balance. For example, if you have an account value of $10,000, we would deduct $5.42 per month from your account. The maximum annual fee is $140 or $11.67 per month. All fees are subject to change. Q. If an employee leaves public employment, can the account balance be refunded in cash? A. No. Reimbursement can only be paid for documented health care expenses. Q. Are there any provisions for loans or emergency withdrawals? A. No. Q. Can the employee's Health Care Savings Plan account balances be transferred to another health care plan? A. No. Federal rules involved in the creation of another health care plan may be different than the criteria established for the Health Care Savings Plan. Q. What happens if I die before my account balance is depleted? A. If there is a balance remaining in your account upon your death, it is automatically transferred to your spouse and/or legal dependents to use for tax-free reimbursement of eligible medical expenses. If you do not have a spouse or legal dependents, or your spouse dies before you, your designated beneficiaries can use the remaining balance in your HCSP for reimbursement of eligible health care expenses. Reimbursements to a designated beneficiary are subject to state and federal income taxes. Q. I have a spouse and/or legal dependents. Do I still need to designate a beneficiary? A. Even if you have a spouse or legal dependents, it's still a good idea to have a beneficiary designation on your account because your situation may change - your spouse may precede you in death and children grow up and are no longer considered legal dependents. We encourage you to periodically review your HCSP beneficiary designation. Q. Can I have multiple tax-advantaged medical savings plans? A. Participation in the HCSP does not limit your ability to have other types of tax-advantaged medical savings plans; however you may not request reimbursement of the same expense from multiple plans. Also, please be aware that compatibility issues exists between a Health Savings Account (HSA) and other tax-advantaged medical savings plans. For more details, please see HCSP/HSA compatibility. |
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| Reimbursements Q. What types of medical expenses are reimbursable? A. You can use the HCSP for reimbursement of a variety of eligible medical expenses, including medical, dental, and long-term care insurance premium, Medicare Part B, C, and D, vision expenses, hearing aids, as well as medical equipment and supplies. For a complete list of items, please see Eligible Expenses. Please note: Due to Health Care Reform, effective January 1, 2010, over-the-counter drugs/medications are not reimbursable without a prescription from a qualified medical practictioner. Q. Whose medical expenses can be reimbursed? A. You can request reimbursement of the health care expenses you paid that were incurred by your spouse, legal dependants, and children up to their 26th birthday. Dependents can include spouse, children, grandparents and grandchildren if they meet the IRS definition of a legal tax dependent. Effective January 1, 2011, Federal Health Care Reform allows reimbursement for expenses incurred by children up to their 26th birthday, regardless of their marital status, status as a full-time student, or place of residence. The reimbursement extension does not apply to young adults with access to their own or their spouse's medical insurance coverage, nor does it extend to a young adult's spouse or children. Q. Can reimbursement be requested for a domestic partner? A. No. Federal law does not recognize domestic partner status. Q. Is there a maximum annual reimbursement amount? A. Yes. The maximum annual reimbursement limit for 2012 is $25,000. The limit for 2011 was $23,000. This limit does not include medical, dental, or long-term care insurance premium reimbursements. Q. If I return to work after termination can I request reimbursements? A. Depending on the circumstances, participants may or may not be eligible to request reimbursements from their HCSP if they return to work. Please see Returning to work for more details. |
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| Website and AVR Access Q. I'm a new HCSP participant. How do I get a password? A. When MSRS receives your first HCSP contribution, a 6-digit numeric password will be mailed to you. This password should be used to access your account online (through this website) or the Automated Voice Response (AVR) System. If you did not receive your password letter, please call MSRS at 651-296-2761 or 1-800-657-5757, option 3, to request a password reminder letter. Q. How do I log on to my account online? A. The first time you log on to your account online, enter your social security number (SSN) and the 6-digit password you received in the mail. You will be prompted to change the password to a unique 6-digit password of your choice (must be numeric). You will also have the option to create a username so when you access this website in the future, you do not have to use your social security number. The password you established should be used to access both the account online and the AVR. Q. How do I log on to the AVR? A. Call 1-800-657-5757, option 2. Enter your social security number and 6-digit numeric password. The first time you log on to the AVR, you will be prompted to enter a new 6-digit numeric password. You will use this same password to access your account online. Q. I forgot my password. How can I access my account online? A. If you have forgotten your password, click the "Forgot your Password" link. You have two options:
A. On the User Login screen, select SSN from the drop down box, then enter your social security number and password. A "logon notice" box will allow you to reset your Username. |
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60 Empire Drive, Suite 300, St. Paul, MN 55103-3000
Telephone: (651) 296-2761, Toll Free: (800) 657-5757, Fax: (651) 297-5238
E-Mail: info@msrs.us
Please do not include confidential information, such as social security numbers, in email
correspondence with MSRS.
An Equal Opportunity Employer