WalterM
Dec 2 1999, 02:27 AM
Does an FSA plan year have to match a calendar year? For example, can I run a plan year for the flexible benefits from 7/1 to 6/30 of the following year or do I have to stick with 1/1 to 12/31?
Walter M.
Joe Priselac
Dec 2 1999, 02:57 AM
You can have a plan year be any twelve month period. We have clients with almost every conceivable plan year possible.
SLuskin
Dec 17 1999, 06:43 PM
We find that it works best to have the FSA (and the rest of the Cafeteria Plan) have the same plan year as the group medical plan. That way, if the employer changes carriers, or if the carrier changes deductibles, copays, formularies, doctors in the network, etc, the employee can make an intelligent decision regarding the amount to defer into the medical FSA.