Due to the Consolidated Appropriations Act (CAA) rules regarding Flexible Spending Accounts (FSA) have changed.
1. All unused Healthcare FSA funds carryover through 2022
You can carry over all unused amounts from 2020 to 2021 and from 2021 to 2022. The maximum carryover limit was $550, but with the new relief bill, you can now carry over ALL your remaining health FSA funds. By January 25th, all your remaining funds will be automatically carried over for use in your 2021 health FSA. You do not need to take any action for funds to roll over. You may submit claims for 2020 reimbursements up until 3/31/2021.
2. Make changes to your Healthcare FSA without a qualifying status event (getting married, birth of a child, etc.)
You can make a change in election amounts for the plan year ending in 2021 without a change in status event. This revision means you can change your FSA election amount one time by either canceling the deduction, or increasing or decreasing the amount. All changes in election amounts must be submitted by 9/17/2021.
3. Terminated employees can still access Healthcare FSA funds
Prior to the passing of the 2021 stimulus bill, you would have lost access to your unused health FSA funds on your last day of employment. You can now claim your unused funds in your health FSA even if your employment status changes in 2021. You can continue to spend money on eligible healthcare items and get reimbursed from your health FSA up to the amount you contributed.
4. Over-The-Counter (OTC) medications and healthcare items
Prescription not required for OTC medications and some healthcare items have been transitioned to reimbursable including feminine products.
5. NEW! All unused Dependent Care FSA funds carryover through 2022
You can carry over all unused amounts from 2020 to 2021 and from 2021 to 2022. It is the first time carryover has been available for dependent care FSAs. By January 25th, ALL your remaining funds will be automatically carried over for use in your 2021 dependent care FSA. You do not need to take any action for funds to roll over. You may submit claims for 2020 reimbursements up until 3/31/2021.
6. Make changes to your Dependent Care FSA without a qualifying status events (getting married, birth of a child, etc.)
You can make a change in election amounts for the plan year ending in 2021 without a change in status event. This revision means you can change your FSA election amount one time by either canceling the deduction or increasing or decreasing the amount. All changes in election amounts must be submitted by 9/17/2021.
If you would like to make a one-time change to your current 2021 FSA elections, please submit the CAA FSA Change Form to Patty Anderson, HR Benefits Administrator by interoffice mail, email, or fax at 206.615.3411 by 9/17/2021.
We will keep staff posted as to any other changes as they are confirmed.
For more information, email Patricia.Anderson@seattlehousing.org.