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FSA Claims for Terminated Employee


Guest Robin.Wolf
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Guest Robin.Wolf

My husband terminated employment with a sizable balance in his Flexible Spending Account. ADP is telling him that he had 30 days from termination of employment to submit his claims, not March 15. Can someone please tell me if this is in accordance with applicable law? Thank you!

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My husband terminated employment with a sizable balance in his Flexible Spending Account. ADP is telling him that he had 30 days from termination of employment to submit his claims, not March 15. Can someone please tell me if this is in accordance with applicable law? Thank you!

Out of curiosity, why would you want to wait 6 months for reimbursement? And yes, they can do this.

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Guest Indylaw
My husband terminated employment with a sizable balance in his Flexible Spending Account. ADP is telling him that he had 30 days from termination of employment to submit his claims, not March 15. Can someone please tell me if this is in accordance with applicable law? Thank you!

Out of curiosity, why would you want to wait 6 months for reimbursement? And yes, they can do this.

Did he elect COBRA? If he elected COBRA he could continue until the end of the year (and then the March 15th date would be applicable).

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My husband terminated employment with a sizable balance in his Flexible Spending Account. ADP is telling him that he had 30 days from termination of employment to submit his claims, not March 15. Can someone please tell me if this is in accordance with applicable law? Thank you!

Out of curiosity, why would you want to wait 6 months for reimbursement? And yes, they can do this.

Did he elect COBRA? If he elected COBRA he could continue until the end of the year (and then the March 15th date would be applicable).

Good point, I was not even thinking about cobra. There is no mention of COBRA in the question...Robin.Wolf, is there cobra coverage?

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  • 3 weeks later...
Guest Robin.Wolf
My husband terminated employment with a sizable balance in his Flexible Spending Account. ADP is telling him that he had 30 days from termination of employment to submit his claims, not March 15. Can someone please tell me if this is in accordance with applicable law? Thank you!

Out of curiosity, why would you want to wait 6 months for reimbursement? And yes, they can do this.

Did he elect COBRA? If he elected COBRA he could continue until the end of the year (and then the March 15th date would be applicable).

Good point, I was not even thinking about cobra. There is no mention of COBRA in the question...Robin.Wolf, is there cobra coverage?

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Guest Robin.Wolf

Thanks to all for the responses. We had planning on using the FSA balance for one large expense to be incurred late in the calendar year, to avoid the paperwork of a number of tiny claims. Hence the delay in requesting reimbursement.

The resolution of my problem was that the Plan Sponsor had not communicated the 30-day deadline--in fact, it appeared to me that the HR person was not aware of it herself until I called it to her attention. They waived the deadline on those grounds and all claims incurred prior to termination of employment are being paid. In this business I learn something new every day!

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