by Jennifer A. Grady, Esq.
On October 31, 2013, the White House issued a press release announcing a change in the Health FSA (Flexible Spending Account) policy. By modifying the “use-it or lose-it” policy, the new provision allows for up to a $500 rollover of unused FSA funds into the following plan year. This means that participants will no longer need to scramble to use the balance of their funds, or make unnecessary purchases just to prevent wasting of those funds. Currently, any amounts remaining in the plan after the optional Run-Out or Grace Period are forfeited. Continue reading