Unique 2021 Flexible spending account (FSA) opportunity
Portico is adopting provisions in recent COVID-relief legislation (American Rescue Plan Act) that allow members to reconsider their 2021 FSA elections and adjust, as appropriate, during this one-time opportunity. Sponsored members can elect to change or begin pretax contributions to an FSA – without experiencing a qualifying life event – during a special enrollment window between April 12 – April 23, 2021.
Example scenarios where this opportunity could provide added value:
Members expecting higher medical expenses in 2021 than previously estimated can now consider contributing more to a health FSA, or starting a new health FSA for expenses incurred on or after May 1.
Members who pay for daycare can take advantage of the increased dependent care FSA limit of $10,500, versus the previous $5,000.
Members worried about contributing too much can consider reducing their future contributions, to avoid forfeiture of any 2021 FSA balance remaining at year-end. (Note: Members cannot reduce their FSA election below the amount they’ve already contributed or claimed, whichever is greater.)
Interested members must contact the Portico Customer Care Center prior to the 5 p.m. (Central) deadline on Friday, April 23. The toll-free number is 800.352.2876. These elections will take effect May 1. Affected employers will be contacted by Portico via email, beginning April 26, regarding new payroll withholding details for members who made changes to (or added) an FSA.
