(Friday, March 07, 2014)
San Mateo, CA (March 7, 2014) - WageWorks, Inc. (NYSE: WAGE), a leader in administering Consumer-Directed Benefits, reminds employees with Healthcare Flexible Spending Accounts (FSAs) that the grace period many employers currently offer to allow employees to deplete account balances before unused funds have to be forfeited, ends on March 15. As employees approach this deadline and are encouraged to use up any remaining 2013 funds, many employers are changing their 2014 FSA plans by adopting the newly introduced carryover option, effectively eliminating the fear of losing money.
Healthcare FSA users with a grace period are allowed an additional two-and-a-half months to spend down their balances after their plan year ends. Most plan years end on December 31, which means there is only one week left to use up any balances. WageWorks provides a list of eligible expenses to help employees and their families identify opportunities to spend any remaining funds. Popular examples include glasses, dental work, and prescription medications.
Going forward, employers that offer Healthcare FSAs can now allow employees to carry over up to $500 of unused funds at the end of the plan year, effectively eliminating the perceived risk of losing money, which is the most common barrier to employee participation in FSA programs. “The carryover option provides employees with more flexibility and choice, so more people will take advantage of critical savings on their healthcare expenses,” said WageWorks CEO, Joe Jackson.
Employees who are uncertain if their FSA plan includes the carryover option should inquire with their HR department or benefits administrator.
WageWorks (NYSE: WAGE) is a leader in administering Consumer-Directed Benefits (CDBs), which empower employees to save money on taxes while also providing corporate tax advantages for employers. WageWorks is solely dedicated to administering CDBs, including pre-tax spending accounts, such as Health Savings Accounts (HSAs), health and dependent care Flexible Spending Accounts (FSAs), Health Reimbursement Arrangements (HRAs), as well as Commuter Benefit Services, including transit and parking programs, wellness programs, COBRA, and other employee benefits. WageWorks makes it easier to understand and take advantage of Consumer-Directed Benefits for 58,000 employers and approximately 4.5 million people. WageWorks is headquartered in San Mateo, California, with offices in major locations throughout the United States. For more information, visit www.wageworks.com.