Northrop Grumman Corporation · NYSE:NOC
Northrop Grumman — CONEXIS Benefit Administrators — Investor Presentation (2012)
24 slides from Northrop Grumman's investor presentation, 2012
Slide 1: Your CONEXIS FSA: Sign Up and Save Money
Your CONEXIS FSA Sign Up and Save Money
Slide 2: The Benefits of an FSA
The Benefits of an FSA Flexible spending accounts (FSAs) are part your benefits package • Health FSA • Dependent care FSA Allows you to use pre-tax dollars to pay for qualified expenses Advantages • Lowers your taxable income so you pay less in taxes • Paying less in taxes means more money in
Slide 3: Health FSA
Health FSA
Slide 4: Health FSA Advantages
Health FSA Advantages Set aside pre-tax dollars to pay for eligible health care expenses • Deducted from paycheck in equal amounts throughout the plan year Your entire election amount is available on the first day of the plan year FSA funds can be used for eligible expenses • Expenses incurred
Slide 5: Health FSA Savings Example
re CONEXIS human resourceful® Health FSA Savings Example Holly Justin yA articipant N vi! Nall oO Salary: $40,000 Salary: $40,000 FSA contribution: $2,500 FSA contribution: $0 tad Taxes paid: $9,375 Taxes paid: $10,000 Out-of-pocket expenses: $0 Out-of-pocket expenses: $2,600 Take home pay: $28,125
Slide 6: Health FSA Expenses
Health FSA Expenses
Slide 7: Hundreds of Eligible Expenses
Hundreds of Eligible Expenses Co-pays, co-insurance, and deductibles Qualified dental expenses • Cleanings, X-rays, fillings, and braces Qualified vision expenses • Eye exams, LASIK, eyeglasses, and contacts and solutions Qualified professional services • Chiropractic services and acupunctur
Slide 8: Rules for Over-the-counter Medicines
Rules for Over-the-counter Medicines Health care reform changed reimbursement requirements Over-the-counter (OTC) medicines are eligible health FSA expenses only if prescribed by a doctor • Electronic or written prescription • Prescription issued by a doctor (or another individual who can legall
Slide 9: Ineligible Health FSA Expenses
Ineligible Health FSA Expenses No health FSA funds for cosmetic or general health items Ineligible expenses: • Cosmetic surgery and procedures (including teeth whitening) • Personal use items (toothpaste, makeup, deodorant, etc.) • Herbs, vitamins, and supplements used for general health • Non-p
Slide 10: Benefit Card
SS)” BENEFIT CARD
Slide 11: The Easiest Way to Pay
The Easiest Way to Pay The CONEXIS Elite Visa® Benefit Card gives you instant access to your health FSA funds • Easy to use – just swipe and go! • But be sure to keep your receipts Instant payment of your eligible expenses • No paying out-of-pocket Reduces your paperwork • No need to submit a
Slide 12: Where to Use Your Benefit Card
Where to Use Your Benefit Card Most locations where Visa is accepted Health care providers must have a health care-related merchant category code • Doctors, dentists, vision care offices, and hospitals Retail stores must use an Inventory Information Approval System (IIAS) • Pharmacies, discoun
Slide 13: Example – Using Your Benefit Card
Example – Using Your Benefit Card You have two prescriptions that you give the pharmacist at a local grocery store (a store that uses the IIAS process) • Traditional prescription • OTC prescription for aspirin Provide the prescriptions before making your purchase At the store, you pick up othe
Slide 14: Save Your Receipts
Save Your Receipts Save all receipts from your benefit card purchases • Must include itemization of the expense • Credit card receipts and canceled checks are not acceptable IRS rules require proof that benefit card purchases are eligible health FSA expenses • CONEXIS may ask you to verify your
Slide 15: Dependent Care FSA
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Slide 16: Dependent Care FSA
Dependent Care FSA Set aside pre-tax dollars to pay for eligible dependent care expenses • Deducted from paycheck in equal amounts throughout the plan year • Funds must be available in order to be reimbursed Typical expenses • Child care for dependent children under age 13 • Care for a dependent
Slide 17: Dependent Care FSA Savings Example
Dependent Care FSA Savings Example
Slide 18: Dependent Care Expenses
Dependent Care Expenses
Slide 19: Eligible Dependent Care Expenses
Eligible Dependent Care Expenses Expenses must be work-related • Dependent care that allows you or your spouse to work or look for work Care for a dependent child under age 13 • Nursery school, preschool, and day care • Baby sitting • Before and after-school care • Summer day camp Care for you
Slide 20: Ineligible Dependent Care Expenses
Ineligible Dependent Care Expenses You can’t use your dependent care FSA funds for these expenses • School tuition (kindergarten and above) • Overnight camp • A paid provider who doesn’t report money as income to the IRS • Amounts paid to your spouse, your child under age 19, a parent of your chil
Slide 21: Slide 21
Slide 22: Sign Up and Save Money
Sign Up and Save Money Think about how much you will spend on health care and dependent care expenses in the upcoming plan year • Review a list of eligible expenses and informative FAQs on the CONEXIS website Figure out how much to put in your FSA • Use the online calculators on the CONEXIS webs
Slide 23: Helpful Online Resources
Helpful Online Resources Online tools and informative resources • Savings calculators • Savings examples • List of hundreds of eligible expenses • Participation guidelines and FAQs Visit www.conexis.com/myfsa
Slide 24: CONEXIS
CONEXIS human resourceful® EMPLOYEE BENEFITS ADMINISTRATION
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