What is the temporary relief?
Typically, FSA plans with grace period provisions would have up to 2.5 months after the end of the plan year to continue incurring eligible claims. However, the Consolidated Appropriations Act of 2021 allows some Health, Limited Purpose, and Dependent Care FSA plan participants to continue incurring claims through the end of the following plan year.
Who is eligible for this relief?
This relief does not apply to all FSA plans, so please refer to your plan materials or contact email@example.com to confirm if it applies to your employer's plan. In addition, some plans may have a new deadline other than the end of the following plan year.
When does the relief apply and when does it end?
If this relief applies to your employer's FSA plan, it may apply to plan years ending in 2020 and/or 2021.