Home Quicken for Mac Errors and Troubleshooting (Mac)

QMac 2017: How to set up a FSA in Quicken for Mac 2017

NewMac2017NewMac2017 Member ✭✭
How do I set up an employer offered flex spending account in Quicken 2017 for Mac? For example, during open enrollment, I opt to have $1000.00 to spend the following year in a FSA. So I have what appears to be an asset account that is a credit card. Payments are deducted from my paycheck evenly through out the year. How is the best way to create an account in Quicken to handle this type of account?

Comments

  • RickORickO SuperUser ✭✭✭✭✭
    edited August 2018
    Here's how I do it (I'm sure it's not the only way)...

    I set up a Cash account in Quicken called "Flex Spending". On the split line in my paycheck representing the deduction for flex spending, I show it as a transfer to the Flex Spending cash account. This shows up as a deposit in the Flex Spending account register (positive amount). In your case, you would show $41.67 transferred from your paycheck transaction to the Flex Spending cash account if you happen to be paid twice a month.

    When you incur a medical expense against the Flex account, you would enter that in the Flex Spending register as a "spend" or debit transaction. 

    The balance of the Flex Spending account could be positive or negative depending on if you have incurred  less or more medical expense (respectively) than the employer has collected from you so far. At the end of the year, you would expect to show a zero balance in the Flex Spending account.

    You may or may not be able to connect the debit/credit card that they issued to you for transaction download. In my case, it is not possible since there really is no "bank" account to connect to. If it is possible in your case, you may want to set it up as a credit card account, rather than a cash account.

    Make sense?
    Quicken Mac Subscription; Quicken Mac user since the early 90s
  • smayer97smayer97 SuperUser ✭✭✭✭✭
    edited August 2017
    RickO said:

    Here's how I do it (I'm sure it's not the only way)...

    I set up a Cash account in Quicken called "Flex Spending". On the split line in my paycheck representing the deduction for flex spending, I show it as a transfer to the Flex Spending cash account. This shows up as a deposit in the Flex Spending account register (positive amount). In your case, you would show $41.67 transferred from your paycheck transaction to the Flex Spending cash account if you happen to be paid twice a month.

    When you incur a medical expense against the Flex account, you would enter that in the Flex Spending register as a "spend" or debit transaction. 

    The balance of the Flex Spending account could be positive or negative depending on if you have incurred  less or more medical expense (respectively) than the employer has collected from you so far. At the end of the year, you would expect to show a zero balance in the Flex Spending account.

    You may or may not be able to connect the debit/credit card that they issued to you for transaction download. In my case, it is not possible since there really is no "bank" account to connect to. If it is possible in your case, you may want to set it up as a credit card account, rather than a cash account.

    Make sense?

    I do something similar but it depends on how your employer treats your limit. It sounds as if your employer allows you the $1000 spend at the start of the year, even before you have made all your payments. If so, that is similar to mine. 

    So, I set mine up by creating an Asset account and record a 'deposit' by my employer at the start of every year. Then I simply apply the expenses as they come up that are deducted from that account by recording the transaction, say in my credit card account, with a split line that deducts the expense from the Asset account. 

    The monthly payments I make to the employer do not interact with the asset account I simply have these as a deduction on my pay stub entry and that is all.

    You can play around and make adjustments using either of these methods to agree with your needs.

    HTH.
    Have Questions? Check out these FAQs:COMPLETE list of Product Ideas - Quicken for Mac to VOTE on

    Object to Quicken's business model, using up 25% of your screen
    ? Add your vote here:
    Quicken should eliminate the LARGE Ad space when a subscription expires


    (
    Canadian Q user since '92, STILL using QM2007)

  • John_in_NCJohn_in_NC SuperUser ✭✭✭✭✭
    edited August 2017
    RickO said:

    Here's how I do it (I'm sure it's not the only way)...

    I set up a Cash account in Quicken called "Flex Spending". On the split line in my paycheck representing the deduction for flex spending, I show it as a transfer to the Flex Spending cash account. This shows up as a deposit in the Flex Spending account register (positive amount). In your case, you would show $41.67 transferred from your paycheck transaction to the Flex Spending cash account if you happen to be paid twice a month.

    When you incur a medical expense against the Flex account, you would enter that in the Flex Spending register as a "spend" or debit transaction. 

    The balance of the Flex Spending account could be positive or negative depending on if you have incurred  less or more medical expense (respectively) than the employer has collected from you so far. At the end of the year, you would expect to show a zero balance in the Flex Spending account.

    You may or may not be able to connect the debit/credit card that they issued to you for transaction download. In my case, it is not possible since there really is no "bank" account to connect to. If it is possible in your case, you may want to set it up as a credit card account, rather than a cash account.

    Make sense?

    One thing to keep in mind here whether you set this up as an asset or checking/cash account. (Either will work.): Do you to see the $ in your FSA showing in your cash & credit accounts?

    I used to have my HSA setup as a cash account, but I didn't like having that money inflating, if I may, my liquid cash balances. I moved it to an asset account so that it still affects my net worth, but doesn't show screw with my cash & credit account totals.

    Granted HSA accounts typically have a higher balance, but it is something to keep in mind.
  • NotACPANotACPA SuperUser ✭✭✭✭✭
    edited October 2018
    I previously had an FSA and I had access to the full amount on January 1.
    SO, I created 2 accounts, an FSA Liability account and an FSA Spending account.

    The 1st of each year, I transferred the full amount ($1000 in the OP's example) from the liability account to the Spending account.  This created a $1000 amount that I owed and a $1000 that I had to spend.

    My paychecks directed the periodic withholding amount to the Liability account ... to pay it down. The same as any other loan.

    My actual spending was out of, naturally, the Spending account.

    That way I could see both how much of the $1000 remained available in the Spending account, AND how much of that $1000 advance I still owed.
    Q user since DOS version 5
    Now running Quicken Windows Subscription,  Home & Business
    Retired "Certified Information Systems Auditor" & Bank Audit VP
  • galojahgalojah Member ✭✭
    edited December 2017

    I previously had an FSA and I had access to the full amount on January 1.
    SO, I created 2 accounts, an FSA Liability account and an FSA Spending account.

    The 1st of each year, I transferred the full amount ($1000 in the OP's example) from the liability account to the Spending account.  This created a $1000 amount that I owed and a $1000 that I had to spend.

    My paychecks directed the periodic withholding amount to the Liability account ... to pay it down. The same as any other loan.

    My actual spending was out of, naturally, the Spending account.

    That way I could see both how much of the $1000 remained available in the Spending account, AND how much of that $1000 advance I still owed.

    I really like this method, thanks for sharing. 
  • TechnoJockTechnoJock Member ✭✭
    NotACPA - pretty doggoned stinkin' clever. Thanks!
This discussion has been closed.