ADMINISTRATON: Zappa &
Associates offer comprehensive services in our administration of Flexible
Benefit Programs, ranging from communication memoranda to 5500 filings.
SESSION: Before undertaking
enrollment of employees and the administration of a Flexible Benefits Program,
we request a meeting with the client to outline the 125 program, discuss
reimbursement alternatives, set up employee meetings, and review other
LITERATURE: We provide
extensive employee information that introduces the Flexible
Spending Program, including custom designed memos, brochures, and illustrations
of potential tax savings when participating in the program.
MEETINGS: Most crucial to the
successful implementation of a Flexible Spending Account Program are initial
group meetings with eligible employees. We
have found that smaller group meetings, e.g., 20 or under,
result in higher participation rates.
Of course, Zappa & Associates will design a meeting schedule to
accommodate a client’s individual requirements.
We provide complete enrollment services including the above mentioned
group meetings, educational materials, custom designed enrollment forms, and an
800 number for inquiries. In
addition, we offer online enrollment and educational materials via the INTERNET.
ADMINISTRATION: Zappa &
Associates will receive and process all claims, on a mutually agreed upon
schedule with a client. Generally,
we administer and reimburse employee claims on a biweekly schedule, offering a
number of reimbursement alternatives for each client’s choosing.
We have recently added Direct Deposit as an option for all our clients.
& Associates have an 800 number available for all plan participant
inquiries, and a FAX number, allowing 24 hour claim submission.
DOCUMENTATION: We provide a
Plan Document, Summary Plan Description, Adoption Agreement, and Board
Resolution that meet IRC Requirements.
TESTING: Zappa & Associates
will provide testing for the various nondiscrimination formulas required per IRC
Sections 125 & 129.
AUDIT TRAILS: Included in our
services are comprehensive reporting facilities including:
A quarterly report for all plan participants with a Flexible Spending
Account, providing a year to date update on their account status.
Plan Participants will receive a monthly report during the final
quarter of the plan year.
Monthly employer reports include: a) Request form, utilized for
transfer of funds for employee reimbursement; b) Transaction Listing which
lists all requests for reimbursement; c) Check Register which lists all checks
printed, signed and mailed to requestor’s home by Zappa & Associates; d)
Employee monthly summary (four to a page) which provides current status of an
individual employee’s FSA account; e) Monthly reconciliation report which
provides YTD status of all participating employees.
At the conclusion of the plan year, Zappa & Associates will
complete the required 5500 form and mail to each client (with a mailing envelope
addressed to the IRS) for their signature.
There are 3 fees applicable for new clients, 2 for ongoing clients.
One time set up fee.
Annual enrollment fee.
$5.00 per month administration fee for each participating employee in
the Flexible Benefits Program, (i.e., those who open an FSA account, only).