FSA Health Debit Cards

DEBIT CARDS

alt Bentley Yates and All American Benefits is now offering the Benny™ Prepaid Benefits Card and mySourceCard®!! These Health Debit Cards are debit card that allows user's instant access to their Flexible Spending Accounts (FSAs), Health Reimbursement Accounts (HRAs), Health Savings Accounts (HSAs), and other benefit accounts. The Card eliminates the need for employees to pay cash for eligible services by accessing funds from their account elections at the point of service.

  • Inventory Information Approval Systems (IIAS) - IIAS is a point-of-sale technology used by retailers that accept health related debit cards, like FSA, HRA and HSA. It is similar to the system used by grocery stores ever since they introduced the first barcode scanners in the 1970's to separate items eligible for purchase under the Food Stamp Program from those that are not eligible. Every item in the grocery store's database is flagged "yes" or "no" for food-stamp eligibility; the scanner automatically keeps a separate total for food-stamp items; IIAS works in much the same way, but with medical FSAs, HRAs, or HSAs instead of food stamps. The Card will be declined if ineligible items are being sought. Overall, the Benny™ Card averages 80-90% electronic substantiation, which means participants only have to submit paper back-up 1 or 2 times out of ten.
  • Merchant Category Code (MCC) - MCC is a classification code that is assigned by a payment card organization to a merchant/payee. The payment card organization assigns the merchant a particular code based on the predominant business activity of the merchant; this is the IIAS coding that allows for auto substantiation.
  • Multi-Account, "Stacked" Card - The Benny™ Card and mySourceCard® can administer several accounts on the same card; this means, for example, that a single card can carry FSA, HRA, and HSA balances on one card. Rules for order of account access can vary by the employer or plan rules. The Card can also handle transactions split across accounts, without any additional work at the point of service, and it can electronically support the Treasury/IRS ruling allowing a 2½-month grace period during which unused FSA contributions from the previous year may be accessed in the current year.
    • Participant's name
    • Card number - uniquely tied to participant's eligibility
    • Expiration date
    • Toll-Free Customer Service phone number and web site
    • MasterCard®
    • Benny™ Card or mySourceCard® name and logo

The Card's Proven Substantiation/Compliance Process

When participants have an eligible benefit expense at a business that accepts MasterCard ®, they simply use the Card to make the purchase or cover the expense. The amount of the qualified expense will be deducted automatically from their benefits account(s), and the pre-or post-tax dollars will be electronically transferred to the provider/merchant for immediate payment.

To assure compliance with IRS regulations requiring that 100% of FSA/HRA card transactions be substantiated, the Benny™ Card and mySourceCard® offers the maximum electronic substantiation choices to drive the minimum amount of paper. The Card screens transactions first by availability of IIAS and MCC, disallowing use of the card in locations that do not relate to the benefits.