Practical HR Tips, News & Advice. Updated Daily.
Unlike summer blockbuster movies with a large cast of key characters, benefit plan documentation has just three: the plan document under the Employee Retirement Income Security Act (ERISA), the summary plan description (SPD), and the Internal Revenue Code Section 125 cafeteria plan document.
Generally speaking, money contributed to a health flexible spending account (FSA) in any plan year can be used only to reimburse qualified expenses incurred during that year; money not used to reimburse eligible medical expenses incurred during the plan year is forfeited.
The Internal Revenue Service is passing along a reminder to eligible employees that now is the time to begin planning to take full advantage of their employer’s health flexible spending arrangement (FSA) during 2017.
What is a Consumer Directed Health Plan (CDHP)? And how does a CDHP impact employers?
Question: While an employee is out on an approved FMLA leave, can the employee use their medical and/or dependent care FSA money while on leave? If not, what if they are still contributing to the plan?
Our company will be acquired and therefore all of our employees will be terminating our current company and will be hired by the acquiring company. In regards to our Dependent Care Account, can current participants who are contributing change their contribution amount based on this acquisition being out of their control? We would not want […]
Our claim submission deadline for Flexible Spending Account claims is March 1. Are we OK to use this date since it’s reflected in our Summary Plan Description (SPD)?
We have an employee that used more than contributed in her FSA while she was on a FMLA then personal leave. The plan year is over. The employee is now back. Can we ask her to contribute the balance at this point? I know we can’t make this request upon a termination but what about […]
We have an employee that to date has withdrawn more from their FSA than they have contributed. They have now given their notice to end employment. Can we deduct the balance owed for the FSA off the last check to balance out the amount he has been paid but has not contributed.
Can an employee open up a Health Savings Account (HSA) if their spouse has a general purpose Flexible Spending Account (FSA)? If not, can they open up the HSA account once their spouse’s FSA is exhausted and closed? And once they do this, how does the employer who is contributing to the HSA abide by […]