Friday, February 24, 2006


I love my FMSA, or Flexible Medical Spending Account. An FMSA is a benefit provided by some employers in the U.S., where you can have a fixed amount deducted from your paycheck over the course of the year. Then, as you pay out-of-pocket healthcare expenses, you can be reimbursed from the funds in your FMSA.

The benefit to the employee is that the paycheck deductions are not taxed. I am in an approximate marginal 30% tax bracket (i.e. from my expected family yearly income, any marginal increase of 1 dollar will result in an increased tax liability of 30 cents and every marginal decrease of 1 dollar will result in a decreased tax liability of 30 cents). Therefore, any out-of-pocket healthcare expenses that I can filter through my FMSA will save me 30%.

I mention all of this because FMSA accounts are wonderful tools to help a stutterer minimize the expenses of whatever therapy program they may be involved in. The therapy that I am involved in the PFSP at the EVMS in Norfolk is an excellent bargain in regards to the benefit derived, however it is even more of a bargain discounted at 30%.

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