FSA Reimbursement for Non-Covered Spouse
Health FSA funds may generally be used to reimburse eligible medical expenses for a spouse or qualifying dependents even if they are not enrolled in the employer's health plan.
Questions about your benefits? Contact your HR administrator.
Q.- An employee waived coverage under our dependent care FSA but he now wants to enroll to put away money to be used to send his daughter to day camp. Should we let him enroll now?
Q.- An employee waived coverage under our dependent care FSA but he now wants to enroll to put away money to be used to send his daughter to day camp. Should we let him enroll now?
A.- No, unless he has an IRS-recognized mid-year change (life) event that would allow him to enroll in the plan at this time. Just wanting to pay for his child’s camp is not a reason to allow participation.
Benefit Allocation Systems (BAS) provides online solutions for: Employee Benefits Enrollment; COBRA; Flexible Spending Accounts (FSAs); Health Reimbursement Accounts (HRAs); Leave of Absence Premium Billing (LOA); Affordable Care Act Record Keeping, Compliance & IRS Reporting (ACA); Group Insurance Premium Billing; Property & Casualty Premium Billing; and Payroll Integration.
MyEnroll360 integrates with major insurance carriers for enrollment eligibility management (e.g., Blue Cross, Blue Shield, Aetna, United Health Care, Kaiser, CIGNA and others), and with leading payroll platforms for enrollment deduction management (e.g., Workday, ADP, Paylocity, PayCor, UKG, and others).
This article is for informational purposes only and is not intended as legal, tax, or benefits advice. Readers should not rely on this information for taking (or not taking) any action relating to employment, compliance, or benefits. Always consult with a qualified professional before making decisions based on this content.