End-of-Year FSA Employer Checklist

This guide provides a comprehensive checklist for employers to manage flexible spending accounts (FSAs) at the end of the year. It outlines essential steps to ensure employees are informed about their FSA options and deadlines. The document begins by emphasizing the importance of confirming plan deadlines and features, including the year-end date, run-out period, grace period, and carryover options. It advises employers to communicate key dates and requirements clearly, including the use-it-or-lose-it rule and reminders for claims submission. The guide also suggests educating employees about eligible expenses and providing resources to assist them. Additionally, it highlights the need for coordination with payroll and FSA administrators to ensure compliance and accurate processing of deductions. Employers are encouraged to solicit employee feedback post-deadline to identify areas for improvement and to plan for the next year’s FSA offerings. This structured approach aims to enhance employee understanding and maximize the benefits of FSAs.