Insights

The answer depends upon whether the employees lost eligibility for the medical, dental, vision, health FSA, and other benefits when they were furloughed, and how long the furlough lasts. Employers should review the terms of the SPD/plan document and cafeteria plan document to ensure that the furloughed employees are actually eligible under the plan terms to continue participating. First, an employer needs to review the plan’s eligibility terms in the plan document/SPD (aka the wrap document). I

On February 11, 2025, the Congressional Research Service (CRS) published an updated report on HSAs. An HSA is a tax-advantaged account that individuals can use to save and pay for unreimbursed medical expenses (e.g., deductibles, copayments, coinsurance, and services not covered by insurance). It was first authorized in the Medicare Prescription Drug, Improvement, and Modernization Act of 2003. The report includes an overview of the principal rules governing HSAs, including with respect to elig

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