Important Update on Health FSA and Dependent FSA Plans
On December 27, 2020 the Consolidated Appropriations Act 2021 was signed allowing us to provide additional temporary flexibility to employees regarding your Health Flexible Spending Account (FSA) and/or Dependent Care Flexible Spending Accounts (Dependent Care FSA).
We are pleased to let you know that we will be implementing the below in regards to your current Health FSA and/or Dependent Care FSA:
Similar to the 2020 plan year unused funds rolling over to 2021, we will be allowing employees to carry over any unused funds from their 2021 plan year into their 2022 FSA plan year, up to the amount allowable. This applies to healthcare/medical FSAs and dependent care FSAs.
Election Changes - Healthcare FSA: The Consolidated Appropriations Act, 2021, allows us to accept prospective FSA election changes regardless of whether you’ve experienced an IRS-qualifying event. This means you may be able to newly elect, change, or revoke your Health FSA on a go-forward basis. We cannot accommodate a retroactive election change. Changes to your Health FSA must be made between June 1, 2021, and June 18, 2021, for an effective date of July 1, 2021. Newly elected amounts must be no less than amounts already reimbursed.
To initiate the special one-time mid-year enrollment to your Health FSA, please contact firstname.lastname@example.org.
Election Changes - Dependent Care FSA: Additionally, the American Rescue Plan Act of 2021 announced the ability to temporarily increase the dependent care flexible spending account annual contribution limit from $5,000 to $10,500 for the 2021 taxable year.
If your needs have changed and you wish to increase the contribution amount for your 2021 Dependent Care FSA, log into Workday and follow these steps:
Select Benefits> Change – Benefits > Change Dependent Care FSA > Upload email or document > Click Submit
Once your request is approved by the Benefits team, you will receive an inbox item to make changes to your Benefit Elections. Follow the instructions, review, and sign to submit changes.
Note: Minimum annual amount is $600 and maximum is $10,500 for 2021. The annual amount should be the total amount for the year, including any contributions that have already been made. We cannot accommodate a retroactive election change.
If you have any questions regarding your existing balance or account, log in to your Discovery Benefits/WEX online account. You may also contact the Discover Benefits/WEX Participant Services team by email at email@example.com or by calling 866-451-3399 during business hours (Monday through Friday, 6 a.m. to 9 p.m. Central time).
We are excited to be able to offer these options for your Health FSA and/or Dependent Care FSA!