Blog - Flexible Spending Account (FSA) Update

Flexible Spending Account (FSA) Update

The U.S Treasury Department announced yesterday that it is making a change to the IRS Use-it-or-Lose-it Rule for FSA accounts. (This is the rule that says participants forfeit any unspent funds after a plan year ends.) This change will allow an employer to offer either a $500 maximum carry-over of unspent FSA funds or the optional 75 day Grace Period, but not both.

The U.S Treasury Department announced yesterday that it is making a change to the IRS Use-it-or-Lose-it Rule for FSA accounts. (This is the rule that says participants forfeit any unspent funds after a plan year ends.)  This change will allow an employer to offer either a $500 maximum carry-over of unspent FSA funds or the optional 75 day Grace Period, but not both.

Please stay tuned…..As soon as we receive the ‘official’ details regarding this new legislation we will make those available to you.

Pin It on Pinterest

Share This