
During benefits open enrollment, an individual selects how much money they’d like to direct from each paycheck to their flexible spending account (FSA) and/or their health savings account (HSA) to use for that plan year (within allowable IRS limits). But what happens if something changes, and that amount they selected doesn’t make sense for them anymore? Can they change their FSA or HSA election amount mid-year? Well, that certainly depends on the situation.
We get it—life happens. An individual or a family’s whole world can change overnight, yet it seems like benefits elections made during enrollment are set in stone. However, that is not always the case! There are situations, called qualifying life events, that can allow an enrollee to change their FSA or HSA contribution amount or open a new account. FSAs and HSAs work differently, but we will address the main categories of qualifying events and how they may allow an employee to change FSA and HSA contributions.
About the Author:
Diana Bauza is a content writer based in the Greater Philadelphia area. She writes about products and services in the health and technology industries, with the goal of empowering consumers with quality information to help them make decisions that best serve their needs.