What are Lifestyle Accounts?
MyChoice Accounts can help you achieve your goals with lifestyle accounts. Lifestyle accounts can take on several roles in your benefits package, depending on what your employer offers. Some employers offer an IRS-regulated account for adoption costs and tuition assistance to help you with growing your family and going to school. Others might offer fitness and health accounts to help you pay for your gym memberships and make healthy choices. Finally, you might have access to a goal account that can help you set aside your own payroll funds for any savings goal you’d like to achieve. Use this page to learn more about the accounts offered by your employer and your benefits portal Reference Center to get specifics on your options.
Your employer may offer “lifestyle” accounts
Adoption assistance programs help you cover the costs associated with growing your family. You elect a defined amount from your pre-tax income to exclude from your pay. The IRS defines eligible expenses, such as legal fees, court costs and travel costs.
Education assistance programs help you cover the costs associated with higher education and continuing education—whether it’s taking new classes or paying back your student loans. Your employer funds the account and defines eligible expenses and reimbursement eligibility. Eligible expenses for tuition reimbursements are typically tuition, books and fees related to credits and coursework. With student loan repayment programs, each employer will determine eligibility and amounts for you to use to move the needle on your education debt.
A lifestyle account is an umbrella term that covers any number of employer-funded programs. Lifestyle accounts may be provided for fitness, wellness, continuing education, financial planning, student loan assistance, college prep, travel and more. Your employer will outline what’s eligible and what’s not, and whether you have to submit documentation for your expenses.
Goal accounts help you save for specific upcoming expenses, such as a vacation or a new car. Goal accounts automatically deduct a set amount from each paycheck to keep your budget on track. Individuals can opt to participate in this post-tax savings account to save their pennies for big-ticket items or upcoming expenses.