What is an FSA Rollover?
FSA rollovers are a carryover of excess funds into the next plan year with a maximum of $500. Rollover plan end types can only apply to Health Care FSAs. Employees do not need to enroll for the new plan year if they want to utilize the rollover funds from the previous plan year. Note that FSA cards can only be used to submit claims for the current year. Any claims from previous years must be submitted manually.
August 1 2019- July 31 2020
An employee can ...
use up to $500 of the previous plan year (August 1 2019- July 31 2020) FSA funds into the next year. In order to rollover these funds, an employer must enroll in a plan for the current year.
Employees have 90 days to file claims against their full balance for funds incurred before the plan year ends. They can then incur new costs up to $500 ( on top of their annual election) in the next plan year.
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