flexible spending account

flexible spending account definition - business

flexible spending account

An employer-sponsored plan in which employee salaries are reduced through contributions to accounts that can be used to pay for dependent care or medical reimbursements. The accounts allow employees to pay medical and dependent care expenses with before-tax dollars. See also Health Reimbursement Arrangement, Health Savings Account.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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