Due to legislation signed in late December 2020, ALL funds remaining in Flexible Spending Accounts including Medical FSAs (FSA), Limited Purpose FSAs (LPFSA for dental and vision expenses only), and Dependent Care FSAs (DCFSA), will be able to be carried over into and used for expenses incurred in the 2021 plan year. Previously, only amounts up to $550 in the FSA and LPFSA were eligible for carryover.
If over $10 of funds remain in any of the above accounts after the expiration of the runout period (end of March 2021) when expenses from 2020 can still be processed, all funds will be rolled over into the FSA account of the same type that was established for the 2021 plan year. If you did not request an FSA be opened for 2021 during the 2020 open enrollment and you wish to have funds roll over for 2021, please let Kristen MacFarlane ([email protected]) know right away so one can be established for you.
As part of the same legislation, funds in the Dependent Care accounts being rolled over can be used for children up to the age of 14 in 2021. The previous limit was age 13.
Finally, the legislation has allowed the College to offer the ability for employees with the above accounts to make one change to the funding amount in their account for 2021. The amount cannot be reduced below deductions already placed in the account nor raised above the government limits for contributions for 2021.