select the correct answer. which sentence about flexible spending accounts (fsas) is true? a. the funds in…

select the correct answer. which sentence about flexible spending accounts (fsas) is true? a. the funds in the account remain for as long as youre employed by the company sponsoring the fsa. b. contributions are taxed when funds are withdrawn to use on qualified expenses. c. contributions are made with pretax dollars. d. there is no contribution limit.

select the correct answer. which sentence about flexible spending accounts (fsas) is true? a. the funds in the account remain for as long as youre employed by the company sponsoring the fsa. b. contributions are taxed when funds are withdrawn to use on qualified expenses. c. contributions are made with pretax dollars. d. there is no contribution limit.

Answer

Brief Explanations:

Flexible Spending Accounts (FSAs) allow employees to contribute pre - tax dollars from their paychecks to pay for certain eligible expenses. Funds usually must be used within a plan year (with some exceptions like a grace period or rollover options in some cases), not just as long as employed. Contributions are not taxed when used for qualified expenses, and there are contribution limits set by the IRS.

Answer:

C. Contributions are made with pretax dollars.