Flexible Spending Account Plan Updates
Dear Colleagues,
In December, Congress passed the Consolidated Appropriations Act, 2021, which provides relief for employer sponsored Health Care and Dependent Care Flexible Spending Accounts (FSA) in response to the COVID-19 pandemic. Wake Forest University has elected to move forward with the following provisions:
Rollover of Unused Funds from the 2020 Plan Year
For the 2020 plan year, the university has expanded the rollover option to include an unlimited rollover amount. If you participated in a health care and/or dependent care FSA and remained benefit eligible through the end of 2020, your remaining balance of unused funds will roll forward in full and be available to use for the 2021 plan year (as long as you remain benefits eligible). The rollover of funds for the 2021 plan year will happen automatically and you do not need to take any action. If you have questions about the expanded rollover please contact McGriff Insurance Services at (800) 930-2441.
Extend Dependent Care FSA Eligibility Age to 14
The maximum age of a dependent for dependent care FSA will be extended from 13 to 14-years-old for eligible dependents who aged out of eligibility during the 2020 plan year. This is a temporary change to the rules by the IRS and only applies to dependents who aged out in 2020. If you have questions about the extended age eligibility, contact Human Resources at (336) 758-4700 or email askHR@wfu.edu.
Election Changes without a Qualifying Event
For the 2021 plan year only, you will be able to enroll or make a mid-year election change (increase or decrease) to your health care and/or dependent care FSA without a qualifying event. However, you cannot reduce your coverage more than what has already been incurred or submitted for reimbursement. You can elect to make these changes in Workday. If you have questions about making changes to your FSA elections, contact Human Resources at (336) 758-4700 or email askHR@wfu.edu.
Expansion of Claim Submission for Participants Who Terminate Employment
If you are a health care FSA plan participant and your employment terminates during the 2021 plan year, you will be eligible to incur and submit claims to your health care FSA through December 31, 2021, against the balance of your account as of your termination. This provision does not apply to dependent care FSA accounts. If you have questions about incurring and submitting health care claims following a termination, contact Human Resources at (336) 758-4700 or email askHR@wfu.edu.
Eligible Health Care Expenses include OTC Medications
As a reminder, over-the-counter (OTC) medications have been reinstated as an eligible expense under the health care FSA, retroactive to January 1, 2020. While retailers update their system to allow FSA debit cards to be used for OTC medication, you may still seek reimbursement directly with McGriff Insurance Services by logging into your account or submitting a claim form. If you have questions about reimbursement claims, please contact McGriff Insurance Services at (800) 930-2441.
Sincerely,
Wake Forest University Human Resources
hr.wfu.edu | askhr@wfu.edu | (336) 758-4700