Changes to Spending Accounts
Changes to Flexible Spending Accounts and Health Savings Accounts are administered in accordance with IRS guidelines.
Healthcare and Dependent Care Flexible Spending Accounts
Due to the continued COVID-19 pandemic, the IRS has recently announced benefit plan changes to allow for greater flexibility and support during the 2021 plan year.
How do I request a change to my Health Care Flexible Spending Account (Health Care FSA) and/or Dependent Care Flexible Spending Account (Dependent Care FSA)?
To request a change, please email DHRBenefits.FGG@sdcounty.ca.gov with the following information:
- Employee ID number
- Specify the account you want to change (Health Care FSA or Dependent Care FSA)
- Confirm the change that you want to make and the new annual pledge
· Health Care FSA annual pledges must be between $120 and $2,750 to remain open
· Dependent Care FSA annual pledges must be between $120 and $5,000 to remain open
Eligible changes will be effective the 1st of the month after your email request has been submitted to DHRBenefits.FGG@sdcounty.ca.gov.
How does the 2020 rollover affect my 2021 Spending Account limits?
You are still able to maximize your 2021 Spending Accounts and have the full rollover from 2020. If you would like to reduce the contribution for 2021 because of this change, please see above.
What if I have already used a majority of my 2021 Spending Account balance?
You cannot reduce your account to an amount lower than what you have already been reimbursed.
- For example, if you previously elected a 2021 Health Care FSA with an annual pledge of $2,500 and you have already been reimbursed for $2,000, the lowest you can reduce your account to is $2,000.
Now that my rollover from 2020 has increased, I no longer need my 2021 Spending Account. Can I reduce or stop my 2021 account?
Yes, you may reduce or stop your 2021 account if you no longer need it. To request a change, please see above for instructions.
What happens if I decide to close my 2021 Spending Account?
If you request to close your account, and you are eligible to do so, it will close the 1st of the month following your request. You will only be eligible to submit claims for expenses incurred while the account was active.
- For example, if your Health Care FSA or Dependent Care FSA began on 1/1/2021 and you send a request in March to close your account, the account will close on 4/1/2021. You will only be eligible to submit receipts for expenses incurred 1/1/2021 - 3/31/2021.
- The deadline to submit these receipts will still be 3/31/2022, but you can only claim expenses incurred while the account was active.
If I close my 2021 Spending Account, will I still have access to use the 2020 rollover funds?
No, if you close your 2021 Spending Account you will also lose access to the 2020 rollover funds moving forward. You are only eligible to submit claims for expenses incurred while the account is active; closing the 2021 Spending Account also terminates the rollover balance.
- If you want to keep your account active and maintain access to the existing balance, you may lower your 2021 Spending Account pledge to as low as $5 per paycheck moving forward.
What is the minimum amount I need to contribute to keep my Spending Account active?
If you want to keep your account active, and maintain access to the existing balance, you may lower your pledge to as low as $5 per paycheck moving forward, as long as the amount requested is not lower than what you have already been reimbursed.
What are the maximum amounts I can contribute to a spending account in 2021?
- Health Savings Account (HSA) — Individual coverage: $3,600; family coverage: $7,200
- Health Care Flexible Spending Account (HCFSA) — $2,750
- Dependent Care Flexible Spending Account (DCFSA) — $5,000
- Health Reimbursement Account (HRA) - $5,000 (excess flex credits only)
Note: The combined limit between a Health Care FSA and a Health Reimbursement Account (HRA) is $5,000. You cannot have more than $5,000 between these two accounts.
Will changes to a 2021 Dependent Care FSA effect my other Spending Accounts?
If you have excess Flex Credits available, changes to your Dependent Care FSA may affect your Health Reimbursement Account and/or Health Saving Account. The Flex Credits are reallocated to adjust for the Dependent Care FSA change. For more information, please refer to the Benefits Guide beginning on pg. 9.
- If you currently have a Health Reimbursement Account (HRA), a request to start or increase a Dependent Care FSA will result in your HRA reducing or terminating. If your HRA terminates, you will only be eligible to request reimbursements for expenses incurred while the account was active.
How can I use my Dependent Care FSA rollover from 2020?
If your Dependent Care FSA was active on 12/31/2020, the IRS is allowing a rollover of unused 2020 funds into the 2021 plan year. You can use these funds for any qualifying dependent’s daycare needs.
What if my dependent has already turned 13? Can I use my Dependent Care FSA for him or her?
If you had a dependent child who turned 13 years old in 2020, you may continue to use the 2020 rollover balance for expenses incurred for that child in 2021, up until their 14th birthday.
- This age expansion is only eligible for unused 2020 balances and does not apply to 2021 Dependent Care FSA balances.
How can I check my account balance?
To check your Spending Account balance(s), please log in to your account with ASI Flex.
- For assistance logging into your account, please call ASI Flex at (800) 659-3035.
How can I make a claim?
To make a claim, please log in to your account with ASI Flex.
- For assistance making a claim, please call ASI Flex at (800) 659-3035.
Health Savings Account
HSA contributions may be changed at any time during the year, changes will be effective the 1st of the month after your request. You can initiate a change to your HSA by logging into PeopleSoft Self Service and following this path:
Main Menu> Self Service > Benefits > Life Event > I want to change my HSA contribution
Health Reimbursement Account
An HRA is only funded with excess Flex Credits and may change based on your elections during Open Enrollment or a Qualifying Life Event. Qualifying Life Events often effect your flex credit amount and allocations and may result in the creation of a new HRA or termination of an existing HRA. It is important to review your Benefit Summary after completing a Qualifying Life Event to review your reimbursement accounts if you had or newly have excess flex credits.