Plan Configuration & elections
Whether you have a plan with TASC or not we are here to help determine how best to adjust your plan configuration to match the needs. Considering one or several of these options could make a huge difference for your employees and provide the responsiveness that they deserve.
- Review current benefit offerings and decide if you should add new benefits for your employees.
- Determine if your benefit plans need to change to align with guidance from Families First (FFCRA) legislation (e.g., remove a prescription requirement in the plan).
There are two main areas to consider:
Carryover - Medical FSA **Update as of 5.27.20**
The Internal Revenue Service (IRS) released new guidance to provide relief from certain rules under the Section 125 of the Internal Revenue Code due to the COVID-19 pandemic. The notice increases the carryover amount from $500 to $550.
Grace Period ChangesUpdate as of 5.27.20
The Internal Revenue Service (IRS) released new guidance to provide relief from certain rules under the Section 125 of the Internal Revenue Code due to the COVID-19 pandemic. The notice relaxes the use-it-or-lose-it rule and allows for extended time frames to submit claims for Healthcare FSA and Dependent Care FSA plans.
Rollover - HRA
Rollover allows a set amount of dollars to carry over into the next plan year. The amount is designated by the employer and could be full balance available, % of balance available or up to a $ amount.
A Runout Period provides a timeframe where participants can file requests for reimbursements (claims) for the previous plan year. Typically, a Medical FSA Plan might have a runout period of 90 days.
Qualifying OTC Expenses
There have been changes to legislation around coverages for over-the-counter (OTC) medications.
Dependent Care Election Changes
With shelter-in-place and other statewide orders, you may wish to adjust your plan to accommodate the current situation and free up contribution dollars.
Special Giving Campaign
A workplace giving program can elect to offer an “open enrollment” for employees to give to charities during a time of need is something employers may chose to do.
Elective Medical Services
Offer the ability to change Medical FSA and Limited Purpose FSAs elected amounts for the plan year. Some employees had planned procedures or surgeries that may have been postponed due to COVID-19.
Mid-Year Election ChangesUpdate as of 5.27.20
The Internal Revenue Service (IRS) released new guidance to provide relief from certain rules under the Section 125 of the Internal Revenue Code due to the COVID-19 pandemic. The notice allows (but does not require) employers to amend their plans to allow participants to make mid-year election changes that otherwise may not be permitted.
Virtual Summer Camp - Dependent Care Expense
A Dependent Care FSA covers summer day camps, however, with the occurrence of virtual camps during COVID-19, there have been additional questions about what is a qualifying dependent care expense.