FlexCash
If you have medical and/or dental coverage outside the CSU system, you have the option to tailor your benefit package by enrolling only for the coverage you and your family need. FlexCash is an optional benefit plan that allows you to waive CSU medical and/or dental insurance coverage in exchange for cash, provided you have other non-CSU coverage. If you waive medical and/or dental insurance coverage, you will receive additional cash in your paycheck each month.
The FlexCash payment is treated as taxable income and will be subject to the same payroll taxes (i.e., federal, state, Social Security, Medicare) as regular salary. However, FlexCash will not be considered compensation for retirement. If you have questions about this plan or if you would like to review the plan documents, please contact UP.
If you decide to waive the CSU medical and/or dental coverage, you will be required to certify on the FlexCash Enrollment Authorization form that you have alternative non-CSU medical and/or dental coverage.
Flexcash payment effective date
If the FlexCash Enrollment Authorization Form is received by HR Benefits on or before the 5th of the month, the enrollment is effective the first day of the following month.
If the FlexCash Enrollment Authorization Form is received by HR Benefits after the 5th of the month, the enrollment is effective the first day of the second following month.
The 60-day enrollment deadline applies for new enrollments.
FlexCash payment amount
If you choose to receive cash in lieu of medical and/or dental coverage, you will receive the following monthly cash payments:
- Waive medical only - $128 per month
- Waive dental only - $12 per month
- Waive both medical and dental - $140 per month
CSU may change these amounts in the future, subject to collective bargaining and policy.
Plan Changes
A FlexCash election cannot be canceled in the middle of a plan year, except for allowable family status changes as defined by Internal Revenue Service (IRS) regulations.
If allowable family status changes occur, an employee can stop or start FlexCash payments for health and/or dental, and enroll in a CSU plan by completing new enrollment forms within 60 days of the status change. New FlexCash enrollments can also be submitted during Open Enrollment to be effective January 1st of the following year.