The coronavirus pandemic has impacted many aspects of daily life, and may have affected the amounts you are spending on day care and health care. The following reminders can help you make the most out of your Flexible Spending Accounts (FSAs), which allow you to set aside pre-tax money for day care and medical expenses.
Day Care FSAs
With many schools and daycare facilities closed, many employees are struggling to find a provider who can watch their children during working hours. If your day care expenses have changed due to the COVID pandemic, you can enroll in an FSA outside of the normal enrollment period, or, you can adjust your current Day Care FSA election without a qualifying life event. Also:
- If you participate in a Day Care FSA, you can use these funds to pay an eligible family members to watch your children, as long as the family member is not your tax dependent (your spouse, the parent of the child, your dependent, or your child under the age of 19).
- Online or “virtual” day cares and camps are not eligible for reimbursement with Day Care FSAs, according to IRS regulations.
- Your Day Care FSA offers Kinside, a service that can help you find day cares and preschools nearby that are open and have availability.
- You must use your FSA money for eligible expenses incurred during the plan year—unused funds are forfeited.
Health Care FSAs
If your health care expenses have changed due to the COVID pandemic, you can enroll in an FSA outside of the normal enrollment period, or, you can adjust your current Health Care FSA election without a qualifying life event.
- If you participate in a Health Care FSA, you may use these funds to purchase over-the-counter medications and expenses, including menstrual care products.
- Health Care FSA funds can be used for eligible ergonomic office equipment when you obtain a letter of medical necessity from your doctor.
- Up to $550 in unused funds can rollover into the following plan year. Any other unused funds are forfeited.
For additional information, go to the Flexible Spending Accounts page or contact Navia Benefit Solutions at 425-452-3500 or email Navia Benefit Solutions. To request a change to your FSA, please contact the King County Benefits Team at KC Benefits or 206-684-1556.