State extends health and dependent care spending accounts to provide additional relief to employees
The New York State Governor’s Office of Employee Relations (GOER) is implementing changes to the Dependent Care Advantage Account (DCAA) and the Health Care Spending Account (HCSA), to make it easier for state employees to use these benefits as the COVID-19 pandemic continues.
The changes are as follows:
A grace period is now available for the Dependent Care Advantage Account 2020 plan year
The grace period provides eligible participants with an additional two-and-a-half months (Jan. 1 to March 15) to incur dependent care expenses for reimbursement from the remaining balance of their 2020 DCAA.
The last day to submit DCAA claims is March 31, 2021, for expenses incurred through March 15, 2021.
The grace period will allow employees to utilize any unused amounts in their DCAA that would normally be forfeited at the end of a plan year.
The grace period is applicable for the DCAA only, as long as the employee had a DCAA as of Dec. 31, 2020.
A carryover is now available for the Health Care Spending Account 2020 plan year
The carryover enables eligible employees to use up to $500 of monies remaining in their 2020 HCSA toward eligible expenses incurred during the 2021 calendar year.
The carryover will allow employees to utilize unused amounts in their HCSA that would normally be forfeited at the end of a plan year.
Employees can visit participant.wageworks.com/nysfsa or call 1-800-358-7207 to check their 2020 DCAA or HCSA balances and use this information to help estimate any elections for 2021.
Please e-mail fsa@goer.ny.gov or call WageWorks/Health Equity at 1-800-358-7202 to learn more.