Common use of Medical Spending and Dependent Care Accounts Clause in Contracts

Medical Spending and Dependent Care Accounts. The Medical Spending and Dependent Care account benefits will equal those benefits in effect on January 1, 2002 and will remain unchanged for the duration of this Agreement. Employees shall continue to be permitted to contribute up to $2,500 to the Medical Spending Account and $5,000 to the Dependent Care Account. If, during the term of this Agreement, the IRS increases the maximum annual amount that may be allocated to a tax deferred Dependent Care Flexible Spending Account, bargaining unit members will be eligible to contribute up to that new maximum as of the date the new maximum becomes effective. In the event that the new IRS approved maximum allowable amount becomes effective after the beginning of a plan year (currently a calendar year), the new maximum will become available to unit members at the beginning of the next plan year.