Q.- An employee said he is really strapped for cash and wants to cancel his health FSA contributions. Can we let him stop participating?
A.- Once elected, health FSA participation must be continued for the plan year unless the employee experiences an IRS-recognized mid-year change event. If the employee just wants to drop coverage because he wants the money in his paycheck, this would not be a recognized opportunity to stop coverage.
Benefit Allocation Systems (BAS) provides best-in-class, online solutions for: Employee Benefits Enrollment; COBRA; Flexible Spending Accounts (FSAs); Health Reimbursement Accounts (HRAs); Leave of Absence Premium Billing (LOA); Affordable Care Act Record Keeping, Compliance & IRS Reporting (ACA); Group Insurance Premium Billing; Property & Casualty Premium Billing; and Payroll Integration.
MyEnroll360 can Integrate with any insurance carrier for enrollment eligibility management (e.g., Blue Cross, Blue Shield, Aetna, United Health Care, Kaiser, CIGNA and many others), and integrate with any payroll system for enrollment deduction management (e.g., Workday, ADP, Paylocity, PayCor, UKG, and many others).
