March 31, 2021 Deadline to Submit 2020 Flexible Spending Account Claims
November 2, 2020
The Health Care Flexible Spending Account (FSA) and Limited Purpose FSA allow participants to pay certain out-of-pocket expenses with tax-free dollars. Since these are spending accounts, the money is intended to be spent. Below are reminders to use your FSA and substantiate your claims timely.
Eligible expenses for 2020 must have been incurred by December 31, 2020. These expenses must be submitted and substantiated by March 31, 2021.
How to Submit 2020 Claims
In most situations, the payment card from the FSA administrator, ConnectYourCare (CYC) will work at the point of sale or service. Here are the options to submit FSA claims manually:
For efficient processing, include appropriate IRS required supporting documentation with your claim(s) submission by March 31, 2021. CYC will contact participants directly when additional information is needed.
How to Substantiate 2020 Claims
Review your account on the CYC Portal to see if you have claims to substantiate. If additional information is necessary to substantiate your 2020 claim(s), refer to the FSA Unsubstantiated Claims Process webpage.
Failure to provide documentation to CYC when requested may require repayment. Repayment is done by deducting money from your paycheck on an after-tax basis. Claims should be substantiated by December 31, 2020 to avoid the repayment process.
Health Care FSA Carry Over Reminder
Up to $550 of unused funds in a Health Care or Limited Purpose FSA will carry over into the following year (even if you do not enroll in the FSA for the following year). You will have access to your carryover funds on/around April 15, 2021.
Recent Legislation
The Consolidated Appropriations Act 2021 was recently signed into law. The Act has several COVID relief measures including provisions for employers to help ease your concerns over losing unused FSA funds (health care and dependent day care accounts). The Department of Employee Trust Funds (ETF) is the sponsor for the FSAs that UW System employees are eligible for. The UW System has been in contact with ETF on the potential for any changes to be made to the FSA program. Additional information will be provided if any of the provisions in the Act are adopted.
Additional Information
For questions about your FSA including eligible expenses, claims and/or your payment card, contact CYC at 1-833-881-8158 or service@connectyourcare.com.
For general information review UW System Employee Benefits website.
Posted: November 2, 2021 - Updated: December 30, 2021 - Prioritized: March 25, 2021
Source: UW System Human Resources
Categories: Employee Reimbursement Account