Healthcare Flexible Spending Accounts
Eligible employees can set aside up to $2,700 per calendar year (2020) and $2,750 (2021) in a Healthcare Flexible Spending Account (FSA) to cover eligible out-of-pocket medical, dental and vision care expenses for themselves and their eligible dependents. Qualifying expenses include costs for out-of-pocket costs for your medical and dental care, such as co-pays and deductibles; expenses not covered by the health or dental plans; vision care expenses; and prescription drugs.
Participants in these accounts may pay any out-of-pocket expenses (doctor visits, prescription co-pays, mail order prescriptions, eyeglasses, etc.) at the point of sale by using their Flex Debit Card. The card is pre-programmed for your annual election amount and pre-approved for vendors such as doctors, prescriptions, etc.
Because the IRS governs these accounts, you must make a new election each year if you want to participate.
2021 Healthcare FSA Accounts: To be reimbursable, you must incur eligible expenses between January 1 and December 31, 2021. You have until March 31, 2022, to submit your 2021 account claims. Under the Healthcare FSA, you may carry over up to $550 in account balances from one plan year to the next; so up to $500 of your remaining 2021 plan balance will carry over into the 2022 plan year. Per IRS rules, you will forfeit any remaining balance above $500.
2020 Healthcare FSA Accounts: To be reimbursable, you must incur eligible expenses between January 1 and December 31, 2020. You have until March 31, 2021, to submit your 2020 account claims. Under the Healthcare FSA, you may carry over up to $550 in account balances from one plan year to the next; so up to $500 of your remaining 2020 plan balance will carry over into the 2021 plan year. Per IRS rules, you will forfeit any remaining balance above $500.
Some expenses may require substantiation, so it is important that participants save all receipts. Paper claims may also be filed for reimbursement of eligible expenses. Reimbursement is made by check or by direct deposit.
If you participate in the Harvard Pilgrim High Deductible PPO Health Plan, you may participate in a "Limited Purpose" Healthcare FSA.
If an employee terminates their employment with the College, only services rendered prior to the employee's last day may be eligible for reimbursement under the reimbursement plans. Any unused money will be forfeited.
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