Don’t Forget to Check Claim Filing Deadlines!
Flexible Spending Accounts (FSAs) and Health Reimbursement Arrangements (HRAs) are pretax benefits that can be offered by employers to their employees as part of their benefit package. While the accounts allow employees to be reimbursed for certain out of pocket medical, dental, vision and prescription expenses, there are specific claim filing deadlines that are part of these plans.
FSAs and HRAs can only reimburse expenses with a date of service during the specified time for the plan. At the end of the plan year, participants have a specific amount of time to submit claims for reimbursement that have not already been reimbursed. This is called the plan year run out. The amount of time participants have to submit claims can vary from plan to plan. Common plan year run out timeframes include 31, 60 and 90 days after the end of the plan year.
The final filing date is important for participants to know because claims submitted after the deadline are not eligible for reimbursement.
Often, participants will receive a letter close to the end of the plan year listing any claim filing deadlines. This information may also be available through an online account and is typically listed in the plan document and summary plan description.
Remembering to check claim filing deadlines can help participants avoid losing any funds that have not been claimed for the plan year.
BusinessPlans, Inc. – myCafeteriaPlan does not intend to provide legal or tax advice and information contained in this article should not be interpreted as such. Regulations governing pretax plans are often open to interpretation and should be reviewed with your legal or tax advisor before making any decisions regarding your plan.