A review of final November payroll statistics showed that previous years’ spending patterns within Health Care Flexible Spending Accounts were not holding true this year. This inconsistency negates the immediate advantage for most participants that the previously announced change in the grace period would have brought. Based upon this, human resources will defer changing the grace period/rollover option to commence in the 2014 plan year, instead of at the close of 2013.
All current FSA Plan participants will have through March 15, 2014 to complete eligible transactions for the 2013 plan year. Participants will then have until March 31, 2014 to file all claims for reimbursement with Flex Plan. There will be no 2013 funds available beyond this grace period.
Beginning with the 2014 plan year, all savings under the plan must be used by December 31, 2014, with the exception of up to $500, which can be rolled into the 2015 plan year and used throughout 2015. The Open Enrollment website for Flex-Plan will remain open through Wednesday December 11, 2013, to accommodate any additional changes employees would like to elect for next year.
Questions regarding the plan years, grace periods, and carryovers may be directed to Andy Sherwood at 8981 or email@example.com.