Healthcare FSA Use It or Lose It Rule Amended
January 1, 2014
Are you a City employee enrolled in a Healthcare FSA? Good news! On October 31, 2013, the U.S. Department of the Treasury changed the “Use It or Lose It” rule, which required any leftover balance in a Healthcare FSA to be forfeited at the end of the plan year.
Up to $500 of any remaining balance in your 2013 Healthcare FSA account will be automatically carried over to 2014–even if you did not actively enroll in a 2014 Healthcare FSA.
If you elected a $2,500 maximum contribution for your 2014 Healthcare FSA, up to $500 in unused funds from 2013 will still carry forward, for a total maximum balance of up to $3,000.
Even with the $500 carry forward into 2014, HSS recommends that you review your qualifying expenses for 2013 and submit them to WageWorks at the beginning of the new year for timely reimbursement. The deadline for submitting FSA expenses incurred in 2013 is the same: March 31, 2014.
This rule change applies only to the Healthcare FSA. It does not apply to a Dependent Care FSA. For more information, visit wageworks.com
Columbia University Research Project: Watch a Video, Take a Survey, Earn $15
October 20, 2013
The rising cost of healthcare is one of the biggest issues in the country today. If patients had access to better information, would they make different decisions about their care? To answer that question, Columbia University is looking for HSS members who meet all of the following criteria:
- HSS member, member's spouse or domestic partner
- woman age 40+ or man age 45+
- currently enrolled in Blue Shield of California HMO
Can you give a few minutes of your time to help? Visit the link below to learn more, and sign-up to participate in a confidential study, endorsed by the Health Service System, in collaboration with Blue Shield, Columbia University and Nuna Health. http://www.surveymonkey.com/s/hss_study
Covered California Open For Business
October 1, 2013
Covered California, which is part of federal healthcare reform, will be enrolling uninsured and under-insured legal residents of the state of California beginning October 1. Individuals who cannot obtain coverage through an employer should visit Covered California at coveredca.com.
Defense of Marriage Act (DOMA) Ruled Unconstitutional
June 26, 2013
With pride, the Health Service System is taking immediate action in response to the June 26, 2013 Supreme Court ruling that the federal DOMA law is unconstitutional. Any married couple enrolled in Health Service System benefits will now have pre-tax coverage for all their family members. (Previously the value of health benefits for same-sex spouses and children was counted as taxable income on federal income tax returns.) All same-sex couples with a marriage certificate on file with HSS will have their family status changed from Domestic Partnership to Married, effective the next available pay period.
Health benefits for domestic partners and their children remain taxable under federal law. Read more about domestic partner health benefits and imputed income.